Argentex to introduce new incentive plans for executives and employees

Published 17/03/2025, 16:02
Argentex to introduce new incentive plans for executives and employees

LONDON - Argentex Group PLC (AIM: AGFX), a company specializing in currency risk management and alternative banking, has announced plans to implement a new Long Term Incentive Plan (LTIP) and an Employee Share Option Plan (ESOP). The announcement, made on Monday, comes ahead of a general meeting scheduled for April 2, 2025, where shareholders will vote on the proposals.

The proposed LTIP is designed to reward senior management executives and Executive Directors for increasing shareholder value over the long term. This plan aligns with the company’s strategic plan unveiled on May 2, 2024, and introduces a growth share structure with three tiers of rewards based on the company’s share price performance. However, the LTIP will only hold value if the company’s share price exceeds 65 pence and is capped at 350 pence per share.

Additionally, the company will make interest-free loans available to senior executives to purchase growth shares under the LTIP. These loans to Directors Jim Ormonde and Guy Rudolph require shareholder approval due to their status as related party transactions under the Companies Act and AIM Rules. The Independent (LON:IOG) Directors, after consultation with Singer Advisory LLP, have deemed the terms of these transactions fair and reasonable for shareholders.

The ESOP aims to incentivize the broader employee base and will include a UK tax-advantaged company share option plan. Details of both the LTIP and ESOP are outlined in a shareholder circular, which also includes the notice for the upcoming general meeting.

The adoption of these plans is contingent on shareholder approval at the general meeting to be held at 25 Argyll Street, London. The meeting will address the resolutions necessary to implement the LTIP, the director loans associated with it, and the ESOP.

This move by Argentex reflects a strategic effort to align the interests of senior executives and employees with those of its shareholders, aiming to foster a culture of long-term value creation. The information is based on a press release statement from Argentex Group PLC.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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