Sinclair Pharma PLC Restructuring Programme and Board Change (6242I)
September 01 2016 - 1:00AM
UK Regulatory
TIDMSPH
RNS Number : 6242I
Sinclair Pharma PLC
01 September 2016
Sinclair Pharma plc
Restructuring programme
and Board change
London, 1 September 2016 Sinclair Pharma plc (SPH.L),
("Sinclair" or the "Company") the international aesthetics company,
today announces that a comprehensive staff restructuring programme
has recently been implemented. Sinclair expects to incur a one-off
restructuring charge of GBP2.8m in relation to this programme, the
full amount of which will be recognised in the period ending 31
December 2016 although the Company expects to benefit from annual
cost savings of at least GBP2.0m as a result.
Since the disposal of the medicinal business in December 2015
Sinclair has radically simplified its operations. There are now 5
brands, reduced from 32, SKUs have dropped from 1250 to 52,
external contract manufacturers have reduced from 19 to 3 and there
are 40 fewer distribution partners. As a result 39 staff, mostly in
Europe, have transferred to Alliance Pharma plc and a further 13
have now left the Company.
As part of this restructuring Christophe Foucher, Chief
Operating Officer, has stepped down from the Board with immediate
effect. Christophe has been with Sinclair since 2008 and has been
based in the Company's offices in Paris. As is common under French
employment law the Company and Christophe have entered into a
conciliation process in connection with him stepping down from the
Board and leaving the Group which will determine the compensation
package he will receive in due course, it is however expected that
the payment in lieu of notice that may be paid to Christophe will
form a significant proportion of the GBP2.8m one-off restructuring
charge. In addition, nil-cost options over 1,195,330 new ordinary
shares in Sinclair in respect of accumulated rights under the
Company's valuation creation plan ("VCP") will vest immediately and
may be exercised within six months. The nil-cost options are held
by Sinclair Pharma Man Co Limited, a company in which Christophe
Foucher is a shareholder. Christophe will also remain a beneficiary
of the VCP until the next measurement date which is 30 days after
publication of the Company's financial results for the period to 31
December 2016 which will be issued in March 2017. He will also
receive 615,650 new ordinary shares in full consideration of his
deferred bonus entitlement under the 2013 Bonus Plan.
The compensation package that may be paid to Christophe Foucher
is classified as a related party transaction under the AIM Rules
for Companies. The Independent Directors consider, having consulted
with the Company's nominated adviser, Peel Hunt LLP, that the
compensation package that may be paid to Christophe Foucher is fair
and reasonable insofar as the Company's shareholders are concerned.
Application will be made for the 1,810,980 new ordinary shares to
be issued to Christophe Foucher to be admitted to trading on AIM,
such application is expected to be made in due course.
Commenting on these developments Chris Spooner, CEO of Sinclair,
said:
"After the sale of our medicinal products portfolio Sinclair has
become a simpler and more streamlined business. We are now a
focused, fast-growing and high gross margin company with a
portfolio of class-leading aesthetics products with multiple growth
opportunities and I am highly optimistic about our future. I would
like to offer my personal thanks to Christophe for his outstanding
contribution to the Company and we wish him every future
success."
This announcement contains inside information.
For further information please contact:
Sinclair Pharma plc Tel: +44 (0) 20 7467
6920
Chris Spooner
Alan Olby
Andy Crane
Peel Hunt LLP (NOMAD and Tel: +44 (0) 20 7418
Broker) 8900
James Steel
Oliver Jackson
Media enquiries
FTI Consulting Tel: +44 (0) 203 727
1000
Ben Atwell
Brett Pollard
Notes to Editors:
About Sinclair Pharma plc
Sinclair Pharma plc is an international company operating in the
fast growth, high gross margin, global aesthetics market. Sinclair
has built a strong portfolio of differentiated, complementary
aesthetics technologies, which are experiencing significant growth,
targeting unmet clinical needs for effective, high quality, longer
duration, natural looking and minimally-invasive treatments. The
Company is planning entry to multiple new geographic markets and
line extension launches over the next few years. Sinclair has an
established sales and marketing presence in the leading EU markets
and Brazil, and a network of international distributors. For more
information, please visit www.sinclairpharma.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
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