LOSS-MAKING CCTV specialist IndigoVision is asking shareholders to approve plans to incentivise management with a 20 per cent stake in the business at a general meeting due to take place in Edinburgh later this month.

The company, which posted a $1.1 million loss for the first half of this year, intends to create a pool of shares equal to 20% of its issued share capital that chief executive Pedro Simoes, chief financial officer Chris Lea and chief operating officer Paul Theasby will share in depending on the firm’s performance in the 2021 financial year.

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“The amount of this pool that is actually distributed amongst participants in the plan will be entirely dependent on the level of earnings per share that the company delivers in its 2021 financial year,” the company said in an announcement to the stock exchange.

To receive anything at all, the company’s earnings per share must be at least $0.20 in 2021 while for the whole pool to be handed out the figure must be at least $1.

Any shares awarded will have to be held for at least a year before being sold, with a portion having to be held until the end of 2024.

The proposals have been put forward after IndigoVision’s previous long-term incentive plan, which was put in place in 2008, expired.

Mr Simoes has been chief executive of the business since January this year, having originally joined as global head of sales a year ago and being promoted to the post of interim chief executive last November.

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Previous chief executive Marcus Kneen left the business after it issued a profit warning, citing “unforeseen delays in securing a number of large contracts” in the Middle East as a factor.

Mr Lea has been with the business since 2016 and Mr Theasby has held his position for almost five years.

Last year IndigoVision’s long-term chairman Hamish Grossart retired after 20 years with the firm. He was replaced by George Elliott.