Virgin Media staff to cash in on sharesave scheme

Virgin Media’s first sharesave scheme could bring significant returns for employees when it matures on 1 July 2011 after a three-year savings period.

More than 2,000 staff have taken part in the scheme, provided by Yorkshire Building Society. When the scheme was launched in 2008, Virgin Media’s share price stood at £4.92 and staff were offered a 20% discount.

Those who opted to save £100 a month throughout the scheme may come away with a shareholding worth £12,988 if they buy the shares under option when the scheme matures. This would equate to a profit of £9,229.12 if the shares were sold at a price of about £17 (as at 19 April). On 26 April, the share price had risen to £18.04.

Dominic Beattie, reward and policy director at Virgin Media, said: “This is our first sharesave [plan], and we are delighted with how it looks to be shaping up.

“Based on the current share price, the 2,500 employees who participated could well enjoy a significant return on their savings in a couple of months’ time.”

Virgin Media is looking to introduce another sharesave plan later this year.

Read more articles on sharesave schemes