Business
Related Party Transaction
Related Party Transaction.
About this update from Marks Electrical Group Plc
[{"type":"text","content":"\n \n \n \n 17 November 2022\n \n \n \n \n Marks Electrical Group plc\n \n \n \n \n (\"Marks Electrical\" or \"Company\")\n \n \n \n \n Related Party Transaction\n \n \n \n The Company confirms that its wholly owned subsidiary, Marks Electrical Limited (\"MEL\") settled a net cash payment of 153,420.04 on 16 November 2022, to Mark Smithson (CEO) in relation to previously disclosed historical arrangements. The payment is subject to PAYE and NIC taxes resulting in a total outflow of 336,162.43.\n \n \n This final transaction brings to a close the aforementioned historical arrangements as outlined in the Company's Admission Document at the time of its IPO. There is no financial impact on the Company or its current trading given that these balances were already provided for on the Balance Sheet at the year ended 31 March 2022, and fully disclosed in the related party transaction note within the financial statements.\n \n Further details of this arrangement are described in the Admission Document, dated 5 November 2021.\n \n \n \n Related party transactions\n \n \n \n Given Mark Smithson's position as a Director and substantial shareholder of the Company, the settlement to Mark Smithson is deemed to be a related party transaction pursuant to AIM Rule 13 of the AIM Rules for Companies.\n \n \n Under the AIM Rules, where a company enters into a related party transaction, the independent directors of that company are required, after consulting with the company's nominated adviser, to state whether, in their opinion, the transaction is fair and reasonable in so far as its shareholders are concerned.\n \n \n The Independent Directors, being Marnie Millard, David Wilkinson and Aly Fadil, have considered the terms of the settlement and having consulted with Panmure Gordon, the Company's nominated adviser, the Independent Directors of the Company believe that the terms of the settlement are fair and reasonable in so far as the Company's shareholders are concerned.\n \n \n \n \n \n \n \n \n \n \n \n \n \n Enquiries:\n \n \n \n \n Marks Electrical Group plc &...