Metalrax Group seeks sharesave approval

Metalrax Group is seeking shareholder approval to launch a new sharesave plan to its 1,600 employees.

The specialist steel product supplier will seek the go-ahead at its annual general meeting on 3 May, with a view to launching a scheme between September this year, and January 2008. It will be the company’s second sharesave scheme. It first offered a sharesave scheme around 10 years ago.

Bill Kelly, group finance director, said there was no reason for shareholders to turn down the plan. He added that he didn’t know why another scheme had not been run in the last decade. “It is just overdue. When I [joined the company a year ago] I said ‘wouldn’t it be a good idea?’ It is a simple and effective scheme, and a no-lose situation.”

The intention is to make a three-year scheme provided by Yorkshire Building Society available to all of the group’s UK-based employees. If it is approved, the bank will also offer a 20% discount on the starting share price for staff who purchase options at the end.