MXCP.L Regulatory News (MXCP)

9 Jul 2007 07:00

2 ergo Group plc09 July 2007 Embargoed until 0700 9 July 2007 2ergo Group plc ("2ergo" or the "Group") Launch of new Management Incentive Plan •Launch of new share-based management incentive plan (the "Plan") •For members of the 2ergo senior management team •Non-dilutive to existing shareholders Neale Graham commented today: "We have an extremely talented senior managementteam within 2ergo who have demonstrated their ability to operate within a fastgrowing business. With the Plan we have established a mechanism whereby thesenior managers participating in the Plan will benefit in line with othershareholders in the Group to the extent that the Group's share price increasesbeyond £2.25 and without dilution of existing shareholdings." The Board of 2ergo announces today that it has launched the Plan which is a newshare-based management incentive plan for the senior management of the Group andits subsidiaries. The Plan will not involve the issue of new shares, thus itwill not dilute existing shareholders' holdings of shares in the Group. The shares that are allocated under the Plan are shares that were owned by thefounders and joint Chief Executives of 2ergo, Barry Sharples and Neale Graham.On 7 July 2007 they each transferred the beneficial ownership in 2.2 millionordinary shares of 2ergo to certain senior management via an Employee BenefitTrust. Under the Plan this beneficial ownership will be forfeit by thoseparticipating in the Plan in certain specified circumstances. The seniormanagement will pay for the shares under the Plan at a price of £2.25, whichwill be due from the date or dates on which such shares are no longer at risk offorfeiture. Those beneficiaries under the Plan who now hold more than 3% of the total votingrights of 2ergo, all of whom are the senior management of the Group, are asfollows: +------------------+------------------+------------------+------------------+|Name and position | No. of Ordinary| Beneficial| Beneficial|| |Shares transferred|ownership in 2ergo|ownership in 2ergo|| | Under the Plan|following transfer| following|| | | No. of Shares| transfer|| | | | %|| | | | || | | | |+------------------+------------------+------------------+------------------+|Jill Collighan, | 1 million| 1,090,858| 3.62%||Finance Director, | | | ||2ergo Group plc | | | || | | | || | | | |+------------------+------------------+------------------+------------------+|Damian Hanson, | 1 million| 1,060,860| 3.52%||Sales Director, | | | ||2ergo Ltd | | | || | | | || | | | || | | | || | | | |+------------------+------------------+------------------+------------------+|David Traynor, | 1 million| 1,178,212| 3.91%||Technical | | | ||Director, 2ergo | | | ||Ltd | | | || | | | || | | | |+------------------+------------------+------------------+------------------+|Christopher | 1 million| 1,000,000| 3.32%||Brassington, | | | ||Managing Director,| | | ||2ergo Ltd | | | || | | | || | | | |+------------------+------------------+------------------+------------------+|Neale Graham, | Nil| 2,597,711| 8.62%||Joint Chief | | | ||Executive, 2ergo | | | ||Group plc | | | || | | | || | | | |+------------------+------------------+------------------+------------------+|Barry Sharples, | Nil| 2,597,711| 8.62%||Joint Chief | | | ||Executive, 2ergo | | | ||Group plc | | | |+------------------+------------------+------------------+------------------+ The Board believes that the Plan will provide a significant incentive for theteam of key people responsible for delivering the Group's growth through itsaggressive three year global strategy. In addition, the Board is pleased to report the launch of a new division, called"2ergo Interactive Media" ("2ergo IM"), to capitalise on the rapid growth indemand for Mobile Marketing and Advertising solutions. This global market isexpected to grow from $3 billion this year to $19 billion by 2011 (Source: ABIResearch, May 2007). Operating from a recently acquired London office, this expansion has beenstrengthened by the recruitment of a dedicated team possessing a strongbackground and experience of this market. Already benefiting from a number ofsignificant pipeline opportunities, the Group is confident that this newdivision will contribute profits in the short term and provide a catalyst forlong term investment, and growth in the future. The Group also continues to enjoy increasing success within the Media sector.The strong relationships Proteus has fostered with major US Media clients arenow helping to win business not only in North America, but also in the SouthAmerican, UK and European markets. In seeking to build on its US success to date, the Group has recruited keypersonnel into the Proteus business, including an experienced new ChiefExecutive, with additional sales and marketing resources now located in newoffices in Washington D.C. and in New York, Mexico, Brazil and Argentina. -ends- For further information, please contact: 2ergo group 01706 221 777Neale Graham, Joint MDBarry Sharples, Joint MD Numis Securities Limited 020 7260 1000Stuart Skinner Tavistock Communications 020 7920 3150Lulu BridgesAndrew Dunn This information is provided by RNS The company news service from the London Stock Exchange