Dowell & Jones advises a major financial services group comprising a major commercial bank, a life insurance company, a general insurance company, an asset management company, a pension administration company, and an information technology company, among several other group companies (“the Group”) on the review of its existing Employee Share Option Plan (ESOP) and redesigning a new one. The assignment was executed through the Group’s mandated financial advisors.
The Group needed a new ESOP that would align the interests of management and staff with those of its shareholders; stimulate and sustain high Group performance; be attractive to and a catalyst for retention of high performing members of management and staff; and have a competitive edge over other ESOPs in the market.
The role of Dowell & Jones was to review the Group’s existing ESOP as well as some of its subsidiaries’ separate ESOPs; advise on the legal implications of having one Group ESOP as opposed to each publicly listed subsidiary having its own separate ESOP; advise on the legality of participating Group employees being awarded shares or options over shares of any Group Company; draft the new ESOP Deed and Rules and all accompanying documents.
The assignment involved mediating overlapping legal considerations under employment law, tax law, company law, financial services law, securities law including the Listings Requirements of the Malawi Stock Exchange and others.