Litigation Capital Management Limited has confirmed, in a statement, that a performance-related shareholding of former executive director Nick Rowles-Davies did not vest.
The company noted that a benefit representing 4.9mln shares were held through CM’s Joint Share Ownership Plan (JSOP).
In the statement, the company said: “These JSOP awards are held by the LCM Employee Benefit Trust (EBT), and were due to vest 19 December 2021 subject to continued employment and performance conditions including a share price target of 175p being achieved at any time during the vesting period.
“The JSOP award was subject to malus and clawback provisions.
“Although the JSOP awards did not vest by reason of the termination of employment for cause, the awards had not vested at the date of termination due to the share price of LCM not trading at 175p at any point during the vesting period. The awards remain held in the EBT.”
On Friday, LCM said it sacked executive vice-chairman Nick Rowles-Davies and removed him from the board with immediate effect on the grounds of gross misconduct. The decision followed the identification of certain expenses claims which have been made in contravention of LCM's Global Expense Guidelines and Policy, the company said in a statement.
“While the breaches are a significant violation of internal company policies, their quantum is not material to LCM's financial condition and performance,” the statement added.