Document:

Exhibit 10.8

	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    

HENDERSON GROUP PLC SHARESAVE

 

SCHEME

	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    

Plan approved in principle by resolution of the board of directors of Henderson

Group plc on 27 August 2008

 

HM Revenue & Customs Approval — 17 December 2008

 

HM Revenue & Customs Reference — SRS 104247

 

Approved by shareholders of the Company in general meeting (as amended) on 4

May 2011

 

Amended by the Board with shareholder approval on 1 May 2013

 

Amended by the Finance Act 2013 on 17 July 2013

 

Amended by the Finance Act 2014 with effect from 6 April 2014

 

Re-approved by shareholders of the Company in general meeting (as amended) on

1 May 2014

 

Prepared from the original from Freshfields Bruckhaus Deringer

 

Their reference: LO585161/15 and LON4501808/

 

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CONTENTS

 

	
 
    	
 
    	
Page
    
	
 
    	
 
    	
 
    
	
1.
    	
DEFINITIONS
    	
3
    
	
 
    	
 
    	
 
    
	
2.
    	
INVITATION FOR OPTIONS
    	
6
    
	
 
    	
 
    	
 
    
	
3.
    	
APPLICATION FOR OPTIONS
    	
7
    
	
 
    	
 
    	
 
    
	
4.
    	
SCALING DOWN
    	
7
    
	
 
    	
 
    	
 
    
	
5.
    	
GRANT OF OPTIONS
    	
8
    
	
 
    	
 
    	
 
    
	
6.
    	
INDIVIDUAL LIMIT
    	
9
    
	
 
    	
 
    	
 
    
	
7.
    	
SCHEME LIMIT
    	
9
    
	
 
    	
 
    	
 
    
	
8.
    	
EXERCISE AND LAPSE OF   OPTIONS
    	
10
    
	
 
    	
 
    	
 
    
	
9.
    	
METHOD AND EXTENT OF   EXERCISE
    	
12
    
	
 
    	
 
    	
 
    
	
10.
    	
GENERAL OFFER FOR THE   SCHEME ORGANISER ETC.
    	
12
    
	
 
    	
 
    	
 
    
	
 
    	
Compulsory Acquisition
    	
13
    
	
 
    	
Scheme of Arrangement
    	
13
    
	
 
    	
Voluntary Winding-up
    	
13
    
	
 
    	
 
    	
 
    
	
11.
    	
OPTION ROLLOVER
    	
14
    
	
 
    	
 
    	
 
    
	
12.
    	
ADJUSTMENT OF OPTIONS
    	
15
    
	
 
    	
 
    	
 
    
	
13.
    	
ALLOTMENT OR TRANSFER   OF SHARES ON EXERCISE OF OPTIONS
    	
16
    
	
 
    	
 
    	
 
    
	
14.
    	
RIGHTS ATTACHING TO   SHARES ALLOTTED OR TRANSFERRED PURSUANT TO OPTIONS
    	
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15.
    	
AVAILABILITY OF SHARES
    	
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16.
    	
ADMINISTRATION AND   AMENDMENT
    	
17
    
	
 
    	
 
    	
 
    
	
17.
    	
GENERAL
    	
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HENDERSON GROUP PLC SHARESAVE SCHEME

 

1.                                      DEFINITIONS

 

1.1                               In this Plan, unless the context otherwise requires, the following words and expressions shall have the following meanings, namely:

 

the Act means the Income Tax (Earnings and Pensions) Act 2003;

 

Associated Company means an associated company of the Scheme Organiser within the meaning given to those words by paragraph 47(1) of Schedule 3, save in respect of Rule 8.2(b)(1) where the meaning given in paragraph 35(4) of Schedule 3 shall apply;

 

the ASX means ASX Limited (ABN 98 008 624 691) or any successor body to it;

 

ASX Listing Rules means the Listing Rules of the ASX, as in force from time to time, as they apply to the Scheme Organiser;

 

the Board means the board of directors of the Scheme Organiser or where appropriate a duly authorised committee thereof or, following a change of Control, the Board or duly authorised committee as constituted immediately prior to the change of Control;

 

the Bonus Date means in relation to an Option:

 

(a)                                 where the Option is linked to a three year Savings Contract, the earliest date on which the bonus is payable under that Savings Contract (that is, after making 36 monthly contributions); or

 

(b)                                 where the Option is linked to a five year Savings Contract under which the Option Holder has elected to receive the five year bonus, the earliest date on which the five year bonus is payable under that Savings Contract (that is, after making 60 monthly contributions); or

 

(c)                                  where the Option is linked to a five year Savings Contract (made prior to 23 July 2013) under which the Option Holder has elected to receive the seven year bonus, the earliest date on which the seven year bonus is payable under that Savings Contract (that is, the second anniversary of the payment of the five year bonus, which is paid after making 60 monthly contributions);

 

Capital Reorganisation means any variation in the Share capital or reserves of the Scheme Organiser (including, without limitation, by way of capitalisation issue, rights issue, sub-division, consolidation or reduction);

 

Constituent Company means the Scheme Organiser or any other company to which for the time being the Plan is expressed to extend;

 

Continuous Service has the same meaning as continuous employment in the Employment Rights Act 1996;

 

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Control has the meaning given to that word by section 995 of the Income Tax Act 2007;

 

Date of Grant means the date on which an Option is granted;

 

Dealing Day means any day on which the London Stock Exchange is open for the transaction of business;

 

Eligible Employee means:

 

(a)                                 any individual who, at the Invitation Date:

 

(i)                    is an employee or director of one or more Constituent Companies (including Executive Directors), who in the case of a director is required under the terms of his employment to devote at least 25 hours each week (excluding meal breaks) to his duties;

 

(ii)                      has earnings from the office or employment referred to in (i) above that are (or would be if there were any) general earnings to which section 15 of the Act applies and where those general earnings are (or would be if there were any) earnings for a tax year in which the individual is ordinarily resident in the UK; and

 

(iii)                       has been in Continuous Service with one or more Constituent Companies for such period as the Board may determine (not exceeding five years) prior to the Grant Date; and

 

(b)                                 any other individual who, at the Invitation Date, is an employee or director of one or more Constituent Companies and who is nominated by the Board (or falls within a category of individuals nominated by the Board) as eligible to participate in the Scheme in respect of any one or more grants of Options;

 

Employees’ Share Scheme has the meaning given by section 1166 of the Companies Act 2006;

 

Executive Director means an executive director of the Scheme Organiser;

 

Exercise Price means the price per Share payable on the exercise of an Option as determined by the Board (subject to adjustment under rule 12) but which shall not be less than:

 

(a)                                 80 per cent. of the closing middle market quotation for a Share on the Invitation Date or, if the Board so determines, the Date of Grant (as derived from the Daily Official List of the London Stock Exchange); and

 

(b)                                 in the case of any Option under which Shares may be issued, the nominal value of a Share;

 

Grant Period means the period of 42 days commencing on any of the following:

 

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(a)                                 the day immediately following the day on which the Scheme Organiser makes an announcement of its results for the last preceding financial year, half year or other period;

 

(b)                                 any day on which the Board resolves that exceptional circumstances exist which justify the grant of Options; or

 

(c)                                  any day on which any change to the legislation affecting savings-related share option schemes which are Schedule 3 SAYEs is proposed or made;

 

the Group means the Scheme Organiser and the Subsidiaries and member of the Group shall be construed accordingly;

 

the Invitation Date means the date on which an invitation to apply for an Option is issued;

 

the London Stock Exchange means the London Stock Exchange plc or any successor body to it;

 

Market Value means in relation to a Share on any day:

 

(a)                                 if and so long as the Shares are admitted to listing by the UK Listing Authority and traded on the London Stock Exchange, its middle market quotation (as derived from the Daily Official List); or

 

(b)                                 subject to (a) above, its market value determined in accordance with Part VIII of the Taxation of Chargeable Gains Act 1992 (but, when Shares are subject to a Restriction, determined on the basis that no such Restriction applies) and agreed in advance with Shares and Assets Valuation at HMRC;

 

Minimum Amount means the amount of the monthly contribution to be paid under the Savings Contract being not less than £5 or such other minimum amount as may be permitted under paragraph 25 of Schedule 3 from time to time;

 

Old Henderson means Henderson Group Plc incorporated in England and Wales with registered number 02072534 by whatever name from time to time;

 

Old Henderson Shares means fully paid and irredeemable ordinary shares in the capital of Old Henderson;

 

Option means a right granted under the Scheme to subscribe for or purchase Shares;

 

Option Holder means any individual who holds a subsisting Option (including, where the context permits, the legal personal representatives of a deceased Option Holder);

 

Restriction has the meaning given in paragraph 48(3) of the Schedule 3;

 

Savings Contract means a contract under a certified contractual savings scheme, within the meaning of paragraph 24 of Schedule 3, approved by HM Revenue & Customs for the purpose of Schedule 3;

 

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Schedule 3 means Schedule 3 to the Act;

 

Schedule 3 SAYE means any share option scheme that meets the legislative requirements in force from time to time of Schedule 3;

 

the Scheme means this Scheme as amended from time to time;

 

the Scheme Organiser means Henderson Group plc incorporated in Jersey with registered number 101484 by whatever name from time to time;

 

Shares means fully paid and irredeemable ordinary shares in the capital of the Scheme Organiser, which comply with the conditions in paragraphs 18 to 20 and 22 of Part 4 of Schedule 3, or shares representing those shares following any Capital Reorganisation;

 

Specified Age means, for the purposes of Rule 8.3 in respect of Options granted prior to 17 July 2013 only, age 60 which shall be the specified age for the purposes of the Scheme within the meaning of paragraph 31 of Schedule 3;

 

Subsidiary means any subsidiary of the Scheme Organiser within the meaning of section 1159 of the Companies Act 2006 over which the Scheme Organiser has Control;

 

Trustee means the trustees or trustee for the time being of any employee share trust established by the Scheme Organiser from time to time.

 

1.2                               Where the context permits the singular shall include the plural and vice versa and the masculine shall include the feminine. Headings shall be ignored in construing the Scheme.

 

1.3                               References to:

 

(a)                                 any act of Parliament; or

 

(b)                                 any Extra-Statutory Concession published by the Board of HM Revenue & Customs,

 

shall include any modification, amendment or re-enactment thereof.

 

1.4                               The rules of the Plan refer to the Companies (Jersey) Law 1991. Such references must have the prior agreement of HM Revenue & Customs as being “closely comparable” to the Companies Acts of England and Wales.

 

2.                                      INVITATION FOR OPTIONS

 

2.1                               The Board may, during a Grant Period, invite all Eligible Employees to apply for Options at the Exercise Price (which, if it is not to be determined by the Invitation

 

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Date, must be capable of being determined by a mechanism which exists before the Grant Date).

 

2.2                               Subject to the specific provisions contained in the Scheme, the form, manner and timing of invitations to apply for Options, the number of Shares in respect of which invitations are made on any date and whether the Options will be three or five year Options (or either of them, at the election of Eligible Employees), shall be at the absolute discretion of the Board. The invitation may either state the Exercise Price or (provided a mechanism exists by which the Exercise Price will be determined by the Date of Grant) invite applications by reference to amounts of monthly savings.

 

3.                                      APPLICATION FOR OPTIONS

 

3.1                               If an Eligible Employee wishes to apply for an Option he must, within such period (which shall not be less than 14 days) after the Invitation Date as is stated in the invitation, deliver to the Scheme Organiser (or its appointed agent) a duly completed form of application together with a duly completed application for a Savings Contract in the form prescribed by the Board on which the Eligible Employee must have indicated the Bonus Date on which he intends to apply for repayment thereunder.

 

3.2                               The application for an Option shall be deemed to be for an Option over the largest whole number of Shares which can be acquired at the Exercise Price with the expected repayment, including any relevant bonus, under the related Savings Contract at the appropriate Bonus Date.

 

3.3                               The Board may, in its absolute discretion, treat all late applications as valid unless they are received after the Date of Grant.

 

4.                                      SCALING DOWN

 

4.1                               If valid applications are received for Options over a number of Shares in excess of that which the Board has determined to make available on a particular occasion or in excess of any limitation under rule 7, the Board may scale down applications in accordance with the following successive steps (or such other method as may be agreed by the Board at any time prior to the Date of Invitation) to the extent necessary to eliminate the excess:

 

(a)                                 [Intentionally blank]

 

(b)                                 unless paragraph 4.1(c) applies, the amount of the monthly savings contribution chosen by each applicant shall be taken as reduced pro rata (or, if the Board so determines on a basis which reduces larger monthly savings contributions by a greater amount than smaller monthly contributions) to the extent necessary;

 

(c)                                  the amount of any monthly savings contribution chosen by an applicant which exceeds such amount as the Board shall determine (not being less than the Minimum Amount) shall be taken as reduced to such amount;

 

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(d)                                 if the repayment under the Savings Contract would otherwise be taken as including a bonus, it should be taken as not including a bonus; and

 

(e)                                  applications will be selected by lot, each based on a monthly savings contribution of the Minimum Amount and the inclusion of no bonus in the repayment under the Savings Contract.

 

4.2                               If the number of Shares available is insufficient to enable an Option based on monthly savings contributions of the Minimum Amount and the inclusion of no bonus in the repayment under the Savings Contract to be granted to each Eligible Employee making a valid application, the Board may, as an alternative to selecting by lot, determine in its absolute discretion that no Options shall be granted on that occasion.

 

4.3                               If applications are scaled down, the monthly contributions under Savings Contracts which Eligible Employees have chosen shall, where necessary, be scaled down as appropriate.

 

4.4                               If, in applying the scaling down provisions contained in rule 4.1, the Board considers that it would be administratively impracticable for Options to be granted within the 30 day period referred to in rule 5.1, the Board may extend that period by not more than twelve days.

 

5.                                      GRANT OF OPTIONS

 

5.1                               The Board may, subject to any scaling down, on a single date which shall not be later than the 30th day after the earliest date by reference to which the Exercise Price was calculated (or, where not Exercise Price is not stated at the Invitation Date but is to be determined by a mechanism which exists before the Date of Grant, no later than the 30th day after the Invitation Date), grant all (but not some of) the Options for which valid application has been made by Eligible Employees (provided that they remain Eligible Employees on the Date of Grant).

 

5.2                               As soon as practicable after the Date of Grant, the Board shall procure the issue of an Option certificate to each Option Holder. The option certificate shall specify whether the Shares over which the Option is granted are subject to any Restriction and, if so, the details of that Restriction.

 

5.3                               Options shall be granted in consideration of Eligible Employees agreeing to enter into Savings Contracts. No cash payment shall be made for the grant of an Option.

 

5.4                               No Option shall be granted under the Scheme after 1 May 2024.

 

5.5                               Every Option granted hereunder shall be personal to the Option Holder and, except to the extent necessary to enable a personal representative to exercise the Option following the death of an Option Holder, neither the Option nor the benefit thereof may be transferred, assigned, charged or otherwise alienated. Any transfer of an Option otherwise than as permitted under this rule 5.5 shall cause the Option to lapse.

 

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6.                                      INDIVIDUAL LIMIT

 

No individual shall be granted an Option if the entry into the related Savings Contract would result in the monthly contributions under that Savings Contract, when added to the sum of his monthly contributions under any other subsisting Savings Contracts (whether or not linked to a subsisting Option granted under a Schedule 3 SAYE), exceeding £500 (or such greater amount as is for the time being permitted under paragraph 25(3) of Schedule 3 and approved by the Board).

 

7.                                      SCHEME LIMIT

 

7.1                               The maximum number of Shares which may be allocated under the Scheme on any day shall not, when added to the aggregate of the number of Shares and Old Henderson Shares which have been allocated in the previous 10 years under the Scheme and under any other Employees’ Share Scheme adopted by the Company or Old Henderson, exceed such number as represents 10 per cent of the ordinary share capital of the Company in issue immediately prior to that day.

 

7.2                               References in this Rule 7 to the “allocation” of Shares shall mean:

 

(a)                                 in the case of any option, conditional share award or other similar award pursuant to which Shares may be acquired:

 

(i)                  the grant of the option, conditional share award or other similar award to acquire Shares, pursuant to which Shares may be issued; and

 

(ii)                  in so far as not previously taken into account under (i) above from the date of grant, any subscription for Shares which are issued for the purpose of satisfying any option, conditional share award or other similar award to acquire Shares; and

 

(b)                                 in relation to other types of Employees’ Share Scheme, the issue and allotment of Shares,

 

and references to “allocated” in this Rule 7 shall be construed accordingly.

 

7.3                               In determining the above limits no account shall be taken of

 

(a)                                 any allocation (or part thereof) where the option, conditional share award or other similar award to acquire Shares was released, lapsed or otherwise became incapable of vesting;

 

(b)                                 any allocation (or part thereof) in respect of which the Board has determined shall be satisfied otherwise than by the issue of Shares; and

 

(c)                                  such number of additional Shares as would otherwise have been issued on the exercise of an option for monetary consideration (the exercise price) but in respect of which the exercise price is not paid, in substitution for the issue of such lesser number of shares as have a market value equal only to the gain

 

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which the optionholder would have made on exercise (equity-settled SAR alternative).

 

7.4                               References to the issue and allotment of Shares shall include the transfer of treasury shares, but only until such time as the guidelines issued by institutional investor bodies cease to provide that they need to be so included.

 

8.                                      EXERCISE AND LAPSE OF OPTIONS

 

8.1                               Save as otherwise provided in these rules, an Option may only be exercised:

 

(a)                                 during the six months following the Bonus Date relating to it;

 

(b)                                 [Intentionally blank]; and

 

(c)                                  by an Option Holder who is, at the date of exercise, a director or employee of a Constituent Company,

 

and, if not exercised, shall lapse at the end of the six month period following the Bonus Date.

 

8.2                               Where an Option Holder ceases to be a director or employee of a Constituent Company before the expiry of six months after the Bonus Date:

 

(a)                                 on retirement or by reason of redundancy (within the meaning of the Employment Rights Act 1996), injury or disability, he may exercise any outstanding Options within six months of the date on which his employment ceased, failing which exercise the Options shall lapse automatically PROVIDED THAT the Options may not be exercised more than six months following the relevant Bonus Date;

 

(b)                                 on:

 

(i)                 his employing company: (aa) [Intentionally blank] (bb) ceasing to be an Associated Company by reason of a change of control within the meaning of Section 450 and 451 of the Corporation Tax Act 2010; or

 

(ii)                  (aa) the business (or part of a business) in which he is employed being transferred to a person who is neither an Associated Company nor a company over which the Scheme Organiser has Control where the transfer is not a relevant transfer within the meaning of the Transfer of Undertakings (Protection of Employment) Regulations 2006; or (bb) a relevant transfer within the meaning of the Transfer of Undertakings (Protection of Employment) Regulation 2006,

 

he may exercise any outstanding Options within six months of the date on which his employment ceased, failing which exercise the Options shall lapse automatically PROVIDED THAT the Options may not be exercised more than six months following the Relevant Bonus Date;

 

(c)                                  [Intentionally blank]

 

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(d)                                 in any circumstances other than those set out in rules 8.2(a), 8.2(b) and 8.2(c) and rule 8.4, his Options shall lapse automatically.

 

For the avoidance of doubt, an Option exercisable under this rule 8.2 may lapse at an earlier date by virtue of rule 10.

 

8.3                               In respect of Options granted prior to 17 July 2013 (and no other Options), where an Option Holder remains in employment with a Constituent Company on attaining the Specified Age he may exercise any such Options within six months of attaining that age PROVIDED THAT any such Options may not be exercised more than six months following the relevant Bonus Date.

 

8.4                               If an Option Holder dies while in service or on or within 6 months after the Bonus Date when he holds an Option, such Options may be exercised by his personal representatives at any time within the twelve month period following:

 

(a)                                 the date of death, if such death occurred before the relevant Bonus Date; and

 

(b)                                 the Bonus Date, in the event of his death on or within six months after the relevant Bonus Date,

 

failing which exercise, the Options shall lapse automatically. For the avoidance of doubt;

 

(i)      an Option granted prior to 6 April 2014 that is exercisable under this rule 8.4 shall not lapse prior to the expiry of the specified twelve month period by virtue of rule 8.2 but may lapse at an earlier date by virtue of rule 10; and

 

(ii)      an Option granted on or after 6 April 2014 that is exercisable under this rule 8.4 shall not lapse prior to the expiry of the twelve month period by virtue of rule 8.2 or rules 10.1 to 10.4 but may lapse at an earlier date by virtue of rule 10.5.

 

8.5                               For the purposes of rule 8.2, an Option Holder shall not be treated as ceasing to be a director or employee of a Constituent Company until:

 

(a)                                 he ceases to hold an office or employment in the Scheme Organiser or any company over which the Scheme Organiser has Control or any Associated Company;

 

(b)                                 he ceases to hold an office or employment in a jointly owned company within the meaning of paragraph 46 of Schedule 3 (being a jointly owned company which is not a constituent company in more than one group scheme); or

 

(c)                                  being a female director or employee who is absent from work wholly or partly because of pregnancy or confinement, she ceases to be entitled to exercise any statutory or contractual right to return to work.

 

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8.6                               Notwithstanding rule 8.1(c), if, at the Bonus Date, an Option Holder holds an office or employment in a company which is not a Constituent Company but is an Associated Company or a company over which the Scheme Organiser has Control, Options may be exercised within (but no later than) six months following the Bonus Date.

 

8.7                               If, before the Option has become exercisable, the Option Holder:

 

(a)                                 gives notice, or is deemed to have given notice, under the terms of the related Savings Contract that he intends to stop paying contributions to that Savings Contract; or

 

(b)                                 makes an application for repayment of the related Savings Contract, the Option shall automatically lapse.

 

8.8                               If an Option Holder is declared bankrupt or enters into any general composition with or for the benefit of his creditors including a voluntary arrangement under the Insolvency Act 1986, his Options shall automatically lapse.

 

9.                                      METHOD AND EXTENT OF EXERCISE

 

9.1                               An Option may only be exercised with monies not exceeding the amount repaid under the related Savings Contract, including any bonus or interest as at the date of repayment. No account shall be taken of any repayment of any contribution the due date of which arises after the date of repayment, or any bonus or interest in respect of that contribution.

 

9.2                               An Option Holder may exercise his Option on one occasion only, in whole or in part, by giving notice in writing to the Scheme Organiser or to such other person as the Scheme Organiser may direct in the prescribed form specifying the number of Shares in respect of which the Option is being exercised and enclosing payment in full of the aggregate Exercise Price of those Shares together with evidence of closure of the related Savings Contract. The date of exercise shall be the date on which the Scheme Organiser (or such other person as the Scheme Organiser may direct) accepts receipt of the notice of exercise. If the Option is exercised in respect of some only of the Shares comprised in the Option, the Option in respect of the balance shall thereupon lapse automatically.

 

10.                               GENERAL OFFER FOR THE SCHEME ORGANISER ETC.

 

10.1                        If any person (either alone or together with any person connected with him) makes a general offer to acquire the whole of the share capital of the Scheme Organiser (other than those shares which are already owned by him and/or any person connected with him), the Scheme Organiser shall, as soon as reasonably practicable thereafter, give notice to each Option Holder of such general offer and prior to the date on which the offer becomes or is declared unconditional in all respects each Option Holder may exercise his Options within the period of six months following the date on which the offer becomes or is declared unconditional in all respects PROVIDED THAT an Option not be exercised more than six months after the relevant Bonus Date.

 

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Failing any permitted exercise, the Options shall, without prejudice to the operation of rule 11, lapse automatically upon the expiry of the six month period PROVIDED THAT if an event as described in rule 10.2 occurs during the six month period, the period during which the Options may be exercised shall be the shorter of the periods specified under this rule 10.1 and rule 10.2.

 

Compulsory Acquisition

 

10.2                        If any person becomes bound or entitled to give a notice under Part 18 of the Companies (Jersey) Law 1991 to acquire Shares, and the circumstances mentioned in rule 10.1 apply, each Option Holder may exercise his Options at any time during the period of 30 days from the date on which such a notice is first issued (whether or not the Option Period has commenced PROVIDED THAT an Option not be exercised more than six months after the relevant Bonus Date.

 

Failing any permitted exercise the Options shall, without prejudice to the operation of rule 11, lapse automatically upon the expiry of the 30 day period.

 

Scheme of Arrangement

 

10.3                        If under section Article 125 of the Companies (Jersey) Law 1991 the court sanctions a compromise or arrangement applicable to or affecting:

 

(a)           all of the ordinary share capital of the Scheme Organiser, or all of the shares of the same class as the Shares to which the Option relates; or

 

(b)           all of the shares, or all of the shares of that same class, which are held by a class of shareholders otherwise than by reference to their employment or directorships or their participation in the Scheme or any other Schedule 3 SAYE,

 

any outstanding Options may be exercised within six months of the court sanctioning the compromise or arrangement, failing which exercise the Options shall, without prejudice to the operation of rule 11 lapse automatically PROVIDED THAT an Option may not be exercised more than six months after the relevant Bonus Date.

 

10.4                        Without prejudice to the operation of rule 11, Options shall not be exercisable without the consent of the Board under the provisions of rule 10.3 if the purpose and effect of the scheme of arrangement is to create a new holding company for the Scheme Organiser, such company having substantially the same shareholders and proportionate shareholdings as those of the Scheme Organiser immediately prior to the scheme of arrangement.

 

Voluntary Winding-up

 

10.5                        If notice is duly given of a resolution for a voluntary winding-up of the Scheme Organiser then an Option Holder may exercise his Options within the period of two months from the date of the resolution, failing which exercise the Options shall lapse automatically.

 

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11.                               OPTION ROLLOVER

 

11.1                        If any company (the acquiring company):

 

(a)                                 obtains Control of the Scheme Organiser as a result of making:

 

(i)                 a general offer to acquire the whole of the issued ordinary share capital of the Scheme Organiser which is made on a condition such that if it is satisfied the acquiring company will have Control of the Scheme Organiser; or

 

(ii)                  a general offer to acquire all the Shares,

 

in either case ignoring any Shares that are already held by him or by any person connected with him; or

 

(b)                                 obtains Control of the Scheme Organiser in pursuance of a compromise or arrangement sanctioned by the Court under Article 125 of the Companies (Jersey) Law 1991; or

 

(c)                                  becomes bound or entitled to acquire shares in the Scheme Organiser under Part 18 of the Companies (Jersey) Law 1991,

 

each Option Holder may at any time within 6 months after the relevant date (which expression shall be construed in accordance with paragraph 37 of Schedule 3), by agreement with the acquiring company release any Option which has not lapsed (the old option) in consideration of the grant to him of an option (the new option) which (for the purposes of that paragraph) is equivalent to the old option but relates to shares in a different company (whether the acquiring company itself or another company falling within paragraph 18(b) or (c) of Schedule 3) (the new grantor).

 

11.2                        The new option shall not be regarded for the purposes of rule 11.1 as equivalent to the old option unless the conditions set out in paragraph 39(4) of Schedule 3 are satisfied and, in relation to the new option, the provisions of the Scheme shall be construed as if:

 

(a)                                 the new option were an option granted under the Scheme at the same time as the old option;

 

(b)                                 references to the Scheme Organiser in rules 9, 10, 11, 12, 13, 14, 15, 16 (excluding (a)) and 17 were references to the new grantor provided that references to Constituent Company shall continue to be construed as if references to the Scheme Organiser within this definition were to Henderson Group plc;

 

(c)                                  references to the Board in rules 9, 12, and 17 were references to the board of directors of the new grantor;

 

(d)                                 references to Shares were references to shares in the new grantor;

 

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(e)                                  the Savings Contract made in connection with the old option had been made in connection with the new option; and

 

(f)                                   the Bonus Date in relation to the new option was the same as that in relation to the old option.

 

12.                               ADJUSTMENT OF OPTIONS

 

In the event of any Capital Reorganisation, the Exercise Price, the definition of Shares and the number of Shares comprised in an Option may be adjusted in such manner as the Board may determine PROVIDED THAT:

 

(a)                                 no adjustment shall take effect without the prior approval:

 

(i)      [Intentionally blank];

 

(ii)      in respect of Options under which Shares are to be transferred, the person holding the Shares to which the Options relate (such approval not to be unreasonably withheld);

 

(b)                                 if any adjustment is made under rule 12 at a time when the Scheme Organiser is included in the official list of the ASX, such adjustment shall comply with the ASX Listing Rules in force at the time of the Capital Reorganisation;

 

(c)                                  no adjustment shall be made pursuant to this rule which would increase the aggregate Exercise Price of any Option;

 

(d)                                 except as provided in this subparagraph (d) no adjustment may have the effect of reducing the Exercise Price to less than the nominal value of a Share. Where an Option subsists over both issued or unissued Shares any such adjustment may only be made if the reduction of the Exercise Price of Options over both issued and unissued Shares can be made to the same extent. Any adjustment to the Exercise Price of Options over unissued Shares shall only be made if and to the extent that the Board shall be authorised to capitalise from the reserves of the Scheme Organiser a sum equal to the amount by which the nominal value of the Shares in respect of which the Option is exercisable exceeds the adjusted Exercise Price. The Board may apply such sum in paying up such amount on such Shares and so that on exercise of any Option in respect of which such reduction shall have been made the Board shall capitalise such sum (if any) and apply the same in paying up such amount as aforesaid;

 

(e)                                  in respect of an Option under which Shares are to be transferred, prior notification shall be given to the person holding the Shares to which the Option relates; and

 

(f)                                   any adjustment made must secure that:

 

15

 

(i)       the total Market Value of the Shares which may be acquired by the exercise of the Option is immediately after the variation substantially the same as it was immediately before the variation or variations;

 

(ii)       the total price at which those Shares may be acquired is immediately after the variation substantially the same as it was immediately before the variation or variations, and

 

(iii)        following any such variation the requirements of Schedule 3 continue to be met.

 

For the avoidance of doubt, any adjustments to an Option pursuant to this rule 12 shall be notified to HM Revenue & Customs in accordance with Paragraph 40B(6) of Schedule 3.

 

13.                               ALLOTMENT OR TRANSFER OF SHARES ON EXERCISE OF OPTIONS

 

Subject to any necessary consents, to payment being made for the Shares and to compliance by the Option Holder with the terms of the Scheme, not later than 30 days after receipt of any notice of exercise in accordance with rule 9.2, the Scheme Organiser shall either allot and issue or procure the transfer by the Trustee of Shares to the Option Holder (or to his nominee). The Scheme Organiser or the Trustee shall (unless the Shares are to be issued in uncertificated form) as soon as practicable deliver to the Option Holder (or such nominee) a definitive share certificate or other evidence of title in respect of such Shares. Where the Shares are issued or transferred to a nominee of the Option Holder, the Option Holder shall remain the beneficial owner of the Shares. The Scheme Organiser may, in its discretion, require that particular Options be satisfied by the transfer of existing Shares purchased in the market.

 

14.                               RIGHTS ATTACHING TO SHARES ALLOTTED OR TRANSFERRED PURSUANT TO OPTIONS

 

14.1                        All Shares allotted or transferred upon the exercise of an Option shall rank pari passu in all respects with the Shares in issue at the date of exercise save as regards any rights attaching to such Shares by reference to a record date prior to the date of exercise.

 

14.2                        Any Shares acquired on the exercise of Options shall be subject to the articles of association of the Scheme Organiser from time to time in force.

 

14.3                        Options do not confer any rights upon an Option Holder to participate in new issues of Shares prior to the exercise of Options.

 

15.                               AVAILABILITY OF SHARES

 

15.1                        The Scheme Organiser or, where relevant pursuant to the rules of the Scheme, the Trustee shall at all times keep available for issue sufficient authorised but unissued Shares to permit the exercise of all unexercised Options under which Shares

 

16

 

may be allotted or shall otherwise procure that Shares are available for transfer in satisfaction of the exercise of Options.

 

15.2                        If and so long as the Shares are listed on the Official List of the London Stock Exchange, the Scheme Organiser will, at its expense, make application to the London Stock Exchange for admission to the Official List of Shares allotted on the exercise of any Option.

 

16.                               ADMINISTRATION AND AMENDMENT

 

The decision of the Board shall be final and binding in all matters relating to the Scheme and it may at any time discontinue the grant of further Options or amend any of the provisions of the Scheme in any way it thinks fit: PROVIDED THAT:

 

(a)                                 at a time when the Scheme is a Schedule 3 SAYE, if an amendment is made which affects a key feature (as defined in paragraph 40B(8) of Schedule 3) of this Scheme, notification shall be made to HM Revenue & Customs in accordance with paragraph 40B(6) of Schedule 3;

 

(b)                                 except as herein provided, the Board shall not make any amendment (not being an amendment that is necessary or desirable in order for the Scheme to qualify as a Schedule 3 SAYE) that would materially prejudice the interests of existing Option Holders except with the prior consent or sanction of Option Holders who, if they exercised their Options in full, would thereby become entitled to not less than three-quarters of all the Shares which would fall to be allotted or transferred upon exercise in full of all outstanding Options;

 

(c)                                  no amendment to the advantage of Eligible Employees or Option Holders may be made:

 

(i)          to the definition of Eligible Employee in rule 1.1;

 

(ii)         the limitations on the number of Shares subject to the Scheme;

 

(iii)         the maximum entitlement for any Eligible Employee under the Scheme;

 

(iv)       the basis for determining an Eligible Employee’s entitlement to Shares under the Scheme;

 

(v)         the terms of Shares to be provided under the Scheme; and

 

(vi)          the adjustments to Options, under rule 12, in the event of a Capital Reorganisation

 

without the prior approval of the Scheme Organiser in general meeting except in the case of minor amendments to benefit the administration of the Scheme, to take account of a change in legislation or to obtain or maintain favourable tax, exchange control or regulatory treatment for Eligible Employees and Option Holders or any member of the Group;

 

17

 

(d)           without prejudice to any provision of the Scheme which provides for the lapse of an Option, the Board may not cancel an Option unless the Option Holder agrees in writing to such cancellation; and

 

(e)           at any time while the Scheme Organiser is included in the official list of the ASX, no amendment may be made to these rules and no other changes may be made to Options except in accordance with the ASX Listing Rules.

 

17.                               GENERAL

 

17.1                        Any Constituent Company may provide money to the Trustee or any other person to enable them or him to acquire Shares to be held for the purposes of the Scheme, or enter into any guarantee or indemnity for those purposes.

 

17.2                        The rights and obligations of an Option Holder under the terms and conditions of his office or employment shall not be affected by his participation in the Scheme or any right he may have to participate in the Scheme. An individual who participates in the Scheme waives all and any rights to compensation or damages in consequence of the termination of his office or employment with any company for any reason whatsoever insofar as those rights arise, or may arise, from his ceasing to have rights under or be entitled to exercise any Option under the Scheme as a result of such termination or from the loss or diminution in value of such rights or entitlements. If necessary, the Option Holder’s terms of employment shall be varied accordingly.

 

17.3                        The existence of any Option shall not affect in any way the right or power of the Scheme Organiser or its shareholders to make or authorise any or all adjustments, recapitalisations, reorganisations or other changes in the Scheme Organiser’s capital structure, or any merger or consolidation of the Scheme Organiser, or any issue of shares, bonds, debentures, preferred or prior preference stocks ahead of or convertible into, or otherwise affecting the Shares or the rights thereof, or the dissolution or liquidation of the Scheme Organiser or any sale or transfer of all or any part of its assets or business, or any other corporate act or proceeding, whether of a similar character or otherwise.

 

17.4                        Any notice or other document required to be given under or in connection with the Scheme may be delivered to an Option Holder or sent by post to him at his home address according to the records of his employing company or such other address as may appear to the Scheme Organiser to be appropriate. Notices sent by post shall be deemed to have been given on the day following the date of posting. Any notice or other document required to be given to the Scheme Organiser under or in connection with the Scheme may be delivered or sent by post to it at its registered office (or such other place or places as the Board may from time to time determine and notify to Option Holders).

 

17.5                        Benefits under this Scheme shall not be pensionable.

 

17.6                        The Scheme Organiser, or where the Board so directs any Subsidiary, shall pay the appropriate stamp duty on behalf of the Option Holders in respect of any transfer of Shares on the exercise of the Options.

 

18

 

17.7                        By participating in the Scheme, the Participant consents to the collection, processing, transmission and storage by the Company, in any form whatsoever, of any data of a professional or personal nature which is necessary for the purposes of introducing and administering the Scheme. The Company may share such information with any member of the Group, the Trustee, its registrars, brokers, other third party administrator or any person who obtains Control of the Company or acquires the company, undertaking or part-undertaking which employs the Participant, whether within or outside of the European Economic Area.

 

17.8                        The invalidity or non-enforceability of any provision or Rule of the Scheme shall not affect the validity or enforceability of the remaining provisions and Rules of the Scheme which shall continue in full force and effect.

 

17.9                        These rules shall be governed by, and construed in accordance with, the laws of England. All disputes arising out of or in connection with the rules shall be subject to the exclusive jurisdiction of the courts of England and Wales.

 

19Exhibit 10.9

	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    

THE HENDERSON

 

EXECUTIVE SHARED OWNERSHIP PLAN

	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    

This Plan has been established by resolution of the Remuneration Committee of the Board of Directors of the Company on 16 December 2009

 

This Plan as amended has been:-

 

•                approved by ordinary resolution of shareholders of the Company on 11 May 2010;

 

•                adopted by resolution of the Remuneration Committee of the Board of Directors of the Company on 10 May 2010

 

•                re-approved by ordinary resolution of shareholders of the Company (as amended) on 4 May 2011

 

•                amended by the Board of Directors with shareholder approval on 1 May 2013

 

•                re-approved by ordinary resolution of shareholders of the Company (as amended) on 1 May 2014

 

 

CONTENTS

 

	
Clause
    	
 
    	
Page
    
	
 
    	
 
    	
 
    	
 
    
	
RULES   OF THE HENDERSON EXECUTIVE SHARED OWNERSHIP PLAN
    	
 
    	
1
    
	
 
    	
 
    	
 
    	
 
    
	
1
    	
INTERPRETATION
    	
 
    	
1
    
	
 
    	
 
    	
 
    	
 
    
	
2
    	
PARTICIPATION IN THE   PLAN
    	
 
    	
3
    
	
 
    	
 
    	
 
    	
 
    
	
3
    	
TIMING OF AWARDS
    	
 
    	
3
    
	
 
    	
 
    	
 
    	
 
    
	
4
    	
PLAN LIMITS
    	
 
    	
3
    
	
 
    	
 
    	
 
    	
 
    
	
5
    	
INDIVIDUAL LIMITS ON   AWARDS
    	
 
    	
4
    
	
 
    	
 
    	
 
    	
 
    
	
6
    	
ALTERATION OF THE PLAN
    	
 
    	
4
    
	
 
    	
 
    	
 
    	
 
    
	
7
    	
GOVERNING LAW
    	
 
    	
5
    
	
 
    	
 
    	
 
    	
 
    
	
8
    	
ADMINISTRATION
    	
 
    	
5
    

 

1

 

THE HENDERSON

 

EXECUTIVE SHARED OWNERSHIP PLAN

 

1.                                      INTERPRETATION

 

1.1                               In this Plan the following words and phrases have the meanings respectively given below:-

 

	
“Announcement”
    	
 
    	
the announcement   to a Regulatory Information Service (as defined in the Listing Rules) of the   results of the Company for any period
    
	
 
    	
 
    	
 
    
	
“Articles”
    	
 
    	
the Company’s   articles of association as amended from time to time
    
	
 
    	
 
    	
 
    
	
“Award”
    	
 
    	
an acquisition   by a Co-Owner and an Eligible Employee of the beneficial interest (and, if   appropriate, also legal) in a given number of Shares upon, and subject to,   the terms of a Joint Ownership Agreement as mentioned in Rule 2.1
    
	
 
    	
 
    	
 
    
	
“Award Date”
    	
 
    	
the date on   which an Award is made
    
	
 
    	
 
    	
 
    
	
“Committee”
    	
 
    	
the remuneration   committee of the Directors and, following a change of Control the   remuneration committee as constituted immediately prior to the change of   Control
    
	
 
    	
 
    	
 
    
	
“Company”
    	
 
    	
Henderson Group   plc (registered in Jersey with number 101484) whose registered office is at   47 Esplanade, St Helier, Jersey JE1 0BD
    
	
 
    	
 
    	
 
    
	
“Control”
    	
 
    	
has the meaning   given in section 995 of the Income Tax Act 2007
    
	
 
    	
 
    	
 
    
	
“Co-Owner”
    	
 
    	
the trustee or   trustees for the time being of a trust for the benefit of Eligible Employees   as may be nominated by the Directors for the purposes of this Plan
    
	
 
    	
 
    	
 
    
	
“Dealing Day”
    	
 
    	
a   day on which the London Stock Exchange is open for business
    
	
 
    	
 
    	
 
    
	
“Directors”
    	
 
    	
the board of   directors of the Company or a duly authorised committee of the directors or,   following a change of Control, the board of directors or duly authorised   committee as constituted immediately prior to the change of Control
    
	
 
    	
 
    	
 
    
	
“Discretionary Share Scheme”
    	
 
    	
any Employees’   Share Scheme adopted by the Company in which participation is at the discretion   of the board of directors of the Company (or any duly authorised committee   thereof), other than (i) the Henderson Group PLC Company Share Option   Plan and (ii) any other discretionary Employees’ Share Scheme adopted by   the Company which is approved by the shareholders of the Company on the basis   that such Employees’ Share Scheme is to be so excluded.
    

 

1

 

	
“Eligible Employee”
    	
 
    	
a bona fide employee of a member of the Group, other   than any such person who is a director of the Company
    
	
 
    	
 
    	
 
    
	
“Employees’ Share Scheme”
    	
 
    	
has the meaning given by section 1166 of the Companies   Act 2006
    
	
 
    	
 
    	
 
    
	
“Group”
    	
 
    	
the Company and every other company which is a   Subsidiary and is under the Control of the Company
    
	
 
    	
 
    	
 
    
	
“Joint Ownership
    	
 
    	
an agreement between (1) an Eligible Employee,   (2) a Co-Owner, (3) the Company and,
    
	
 
    	
 
    	
 
    
	
Agreement”
    	
 
    	
if appropriate, (4) a Trustee, which is   substantially in the form set out in the Schedule to this Plan
    
	
 
    	
 
    	
 
    
	
“Listing Rules”
    	
 
    	
the Listing Rules issued by the UK Listing   Authority as amended from time to time
    
	
 
    	
 
    	
 
    
	
“London Stock Exchange”
    	
 
    	
London Stock Exchange plc
    
	
 
    	
 
    	
 
    
	
“Market Value”
    	
 
    	
in relation to a Share on any day, means the average   of the middle market quotations of a Share as derived from the Daily Official   List of the London Stock Exchange for the five Dealing Days last preceding   that day
    
	
 
    	
 
    	
 
    
	
“Model Code”
    	
 
    	
the code adopted by the Company which contains   provisions similar in purpose and effect to the provisions of the Model Code   on Directors’ Dealings in Securities as set out in the Listing   Rules issued by the UK Listing Authority from time to time
    
	
 
    	
 
    	
 
    
	
“Old Henderson”
    	
 
    	
Henderson Group Plc (incorporated in England and   Wales with registered number 02072534) by whatever name known from time to   time
    
	
 
    	
 
    	
 
    
	
“Old Henderson Shares”
    	
 
    	
fully paid and irredeemable ordinary shares in the   capital of Old Henderson
    
	
 
    	
 
    	
 
    
	
“Participant”
    	
 
    	
a person to whom an Award has been made
    
	
 
    	
 
    	
 
    
	
“Plan”
    	
 
    	
the employees’ share scheme set out in the   rules of this executive shared ownership plan as amended from time to time
    
	
 
    	
 
    	
 
    
	
“Salary”
    	
 
    	
the gross rate of basic annual salary (excluding any   bonus, company pension contributions and any other perquisites and   benefits-in-kind) payable to a person at a given time by members of the Group
    
	
 
    	
 
    	
 
    
	
“Shares”
    	
 
    	
ordinary shares in the capital of the Company
    
	
 
    	
 
    	
 
    
	
“Subsidiary”
    	
 
    	
any company which is a subsidiary (within the   meaning of section 1159 of the Companies Act 2006) of the Company
    
	
 
    	
 
    	
 
    
	
“Taxes Act”
    	
 
    	
the Income and Corporation Taxes Act 1988
    
	
 
    	
 
    	
 
    
	
“Trustee”
    	
 
    	
the trustee of the Henderson Employee Trust 2009 or,   (as the case may be) of such other trust for the benefit
    

 

2

 

	
 
    	
 
    	
of Eligible Employees as may be nominated by the   Directors for the purposes of this Plan
    
	
 
    	
 
    	
 
    
	
“UK   Listing Authority”
    	
 
    	
the Financial Services Authority in its capacity as   the competent authority for the purposes of Part VI of the Financial   Services and Markets Act 2000.
    

 

1.2                               References in this Plan to “Rules” are to the rules of this Plan as approved by the Committee and amended from time to time in accordance with Rule 4.

 

2.                                      PARTICIPATION IN THE PLAN

 

2.1                               The Directors may from time to time, and subject to the following provisions of this Plan, recommend to the Trustee that the Trustee, in the exercise of its discretion:-

 

2.1.1                     join with one or more Eligible Employees in subscribing for; or

 

2.1.2                     invite one or more Eligible Employees, jointly with a Co-Owner, to acquire a given number of Shares on, and subject to, the terms of a Joint Ownership Agreement.

 

2.2                               Any such recommendation shall only be made in respect of, and an invitation issued to, a person who is an Eligible Employee.

 

3.                                      TIMING OF AWARDS

 

3.1                               An Award may only be made during the period of:-

 

3.1.1                     42 days immediately after this Plan is approved by shareholders of the Company in general meeting; or

 

3.1.2                     42 days beginning with the fifth Dealing Day following an Announcement; or

 

3.1.3                     28 days immediately after the person to whom it is made first becomes an Eligible Employee; or

 

3.1.4                     subject to the Model Code, at any other time but only if, in the opinion of the Committee, the circumstances are exceptional.

 

3.2                               If the Trustee is restricted by statute, order or regulation (including any regulation, order or requirement imposed on the Company by the UK Listing Authority or any other regulatory authority) from making an Award within any period as mentioned in Rule 3.1 an Award may be made within the period of 42 days (or, in the circumstances referred to in Rule 3.1.3, 28 days) after all such restrictions are removed.

 

3.3                               No Award may be made on any occasion if it would cause the Company or any other person to be in breach of the Listing Rules or the Model Code.

 

3.4                               No Award shall be made under this Plan after 1 May 2024.

 

4.                                      PLAN LIMITS

 

4.1                               Subject to the following provisions of this Rule 4 the Company may issue new Shares or transfer Shares out of treasury for the purposes of Awards and may do so on such terms, as to subscription price or otherwise, as the Directors may determine. For the avoidance of doubt, Shares which are neither newly issued nor transferred out of treasury may also be used for the purposes of Awards. The Directors may, in their discretion, require that only existing Shares purchased in the market be used for the purposes of particular Awards.

 

3

 

4.2                               The maximum number of Shares which may be allocated under the Plan on any day shall not, when added to the aggregate of the number of Shares and Old Henderson Shares which have been allocated in the previous 10 years under the Plan and under any other Discretionary Share Scheme adopted by the Company or Old Henderson, exceed such number as represents 5 per cent of the ordinary share capital of the Company in issue immediately prior to that day.

 

4.3                               The maximum number of Shares which may be allocated under the Plan on any day shall not, when added to the aggregate of the number of Shares and Old Henderson Shares which have been allocated in the previous 10 years under the Plan and under any other Employees’ Share Scheme adopted by the Company or Old Henderson, exceed such number as represents 10 per cent of the ordinary share capital of the Company in issue immediately prior to that day.

 

4.4                               References in this Rule 4 to the “allocation” of Shares shall mean:

 

4.4.1                     in the case of any option, conditional share award or other similar award pursuant to which Shares may be acquired:

 

(a)                                 the grant of the option, conditional share award or other similar award to acquire Shares, pursuant to which Shares may be issued; and

 

(b)                                 in so far as not previously taken into account under (a) above from the date of grant, any subscription for Shares which are issued for the purpose of satisfying any option, conditional share award or other similar award to acquire Shares; and

 

4.4.2                     in relation to other types of Employees’ Share Scheme, the issue and allotment of Shares,

 

and references to “allocated” in this Rule 4 shall be construed accordingly.

 

4.5                               In determining the above limits no account shall be taken of

 

4.5.1                     any allocation (or part thereof) where the option, conditional share award or other similar award to acquire Shares was released, lapsed or otherwise became incapable of vesting;

 

4.5.2                     any allocation (or part thereof) in respect of which the Committee has determined shall be satisfied otherwise than by the issue of Shares; and

 

4.5.3                     such number of additional Shares as would otherwise have been issued on the exercise of an option for monetary consideration (the exercise price) but in respect of which the exercise price is not paid, in substitution for the issue of such lesser number of shares as have a market value equal only to the gain which the optionholder would have made on exercise (equity-settled SAR alternative).

 

4.6                               References to the issue and allotment of Shares shall include the transfer of treasury shares, but only until such time as the guidelines issued by institutional investor bodies cease to provide that they need to be so included.

 

5.                                      INDIVIDUAL LIMITS ON AWARDS

 

The aggregate Market Value (as at the respective Award Dates) of Shares in respect of which Awards may be made to an Eligible Employee in any year shall not be greater than 100 per cent of the Eligible Employee’s Salary at the Award Date.

 

4

 

6.                                      ALTERATION OF THE PLAN

 

6.1                               Subject to Rule 6.2 the Directors, acting only on the recommendation of the Committee, may alter or amend any of the provisions of this Plan in any respect.

 

6.2                               Subject to Rule 6.3, no alteration or amendment to the advantage of Eligible Employees or Participants may be made to:-

 

(a)                                 the definition of “Eligible Employee” in Rule 1.1;

 

(b)                                 the limitation on the number of Shares that may be issued or transferred from treasury for the purposes of the Plan;

 

(c)                                  the maximum entitlement for any Participant under the Plan;

 

(d)                                 the terms of an Award relating to a Participant’s entitlement to exercise the rights attaching to Shares (as set out in a Joint Ownership Agreement); or

 

(e)                                  the adjustment of a Participant’s rights attaching to Shares (as set out in a Joint Ownership Agreement) in the event of a capitalisation, rights issue or open offer, sub-division or consolidation of shares or reduction of capital, or any other variation of capital

 

without the prior approval by ordinary resolution of the shareholders of the Company.

 

6.3                               Rule 6.2 shall not apply to the extent that the alteration or amendment is, in the opinion of the Directors, a minor alteration or amendment:-

 

(a)                                 to benefit the administration of the Plan;

 

(b)                                 to take account of any change in legislation; or

 

(c)                                  to obtain or maintain favourable tax, exchange control or regulatory treatment for Eligible Employees or for Participants or for any member of the Group.

 

7.                                      GOVERNING LAW

 

This Plan shall be governed by and construed in all respects in accordance with English law.

 

8.                                      ADMINISTRATION

 

If any question, dispute or disagreement arises as to the interpretation of this Plan or as to any question or right arising from or related to a Joint Ownership Agreement or this Plan, a decision of the Committee shall be final and binding upon all persons

 

5

 

DATED [    ]

 

(1) ACS HR SOLUTIONS SHARE PLAN SERVICES (GUERNSEY) LIMITED

(as trustee of the Henderson Employee Trust 2009)

 

(2) [EMPLOYEE]

 

(3) ACS HR SOLUTIONS SHARE PLAN SERVICES (GUERNSEY) LIMITED

(as trustee of the Henderson Employee Share Ownership Trust)

 

(4) HENDERSON GROUP PLC

	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    

THE HENDERSON EXECUTIVE SHARED OWNERSHIP

PLAN

 

JOINT OWNERSHIP AGREEMENT

	
 
    	
 
    	
 
    

 

6

 

CONTENTS

 

	
Clause
    	
 
    	
Page
    
	
 
    	
 
    	
 
    	
 
    
	
THE   HENDERSON EXECUTIVE SHARED OWNERSHIP PLAN JOINT OWNERSHIP AGREEMENT
    	
 
    	
1
    
	
 
    	
 
    	
 
    	
 
    
	
1
    	
DEFINITIONS
    	
 
    	
1
    
	
 
    	
 
    	
 
    	
 
    
	
2
    	
INTERPRETATION
    	
 
    	
6
    
	
 
    	
 
    	
 
    	
 
    
	
3
    	
INITIAL ACQUISITION OF   SHARES
    	
 
    	
6
    
	
 
    	
 
    	
 
    	
 
    
	
4
    	
OWNERSHIP BY THE JOINT   OWNERS OF THE JOINTLY OWNED SHARES
    	
 
    	
7
    
	
 
    	
 
    	
 
    	
 
    
	
5
    	
DIVISION OF PROCEEDS OF   SALE
    	
 
    	
7
    
	
 
    	
 
    	
 
    	
 
    
	
6
    	
ADJUSTMENT OF THE THRESHOLD   AMOUNT
    	
 
    	
8
    
	
 
    	
 
    	
 
    	
 
    
	
7
    	
DIVIDENDS
    	
 
    	
8
    
	
 
    	
 
    	
 
    	
 
    
	
8
    	
VOTING RIGHTS
    	
 
    	
8
    
	
 
    	
 
    	
 
    	
 
    
	
9
    	
RIGHTS ISSUES
    	
 
    	
9
    
	
 
    	
 
    	
 
    	
 
    
	
10
    	
COMPANY REORGANISATIONS   (INCLUDING CAPITALISATION ISSUES)
    	
 
    	
9
    
	
 
    	
 
    	
 
    	
 
    
	
11
    	
COMPANY RECONSTRUCTIONS   AND AMALGAMATIONS
    	
 
    	
9
    
	
 
    	
 
    	
 
    	
 
    
	
12
    	
THE EMPLOYEE’S CALL   OPTION
    	
 
    	
9
    
	
 
    	
 
    	
 
    	
 
    
	
13
    	
THE CO-OWNER’S CALL   OPTIONS
    	
 
    	
10
    
	
 
    	
 
    	
 
    	
 
    
	
14
    	
MANNER OF EXERCISE OF   THE CO-OWNER’S CALL OPTIONS
    	
 
    	
11
    
	
 
    	
 
    	
 
    	
 
    
	
15
    	
THE CO-OWNER’S   CONVERSION CALL OPTION
    	
 
    	
11
    
	
 
    	
 
    	
 
    	
 
    
	
16 
    	
MANNER OF EXERCISE OF   THE CO-OWNER’S CONVERSION CALL OPTION
    	
 
    	
12
    
	
 
    	
 
    	
 
    	
 
    
	
17
    	
THE EMPLOYEE’S CONVERSION   CALL OPTION
    	
 
    	
12
    
	
 
    	
 
    	
 
    	
 
    
	
18
    	
MANNER OF EXERCISE OF   THE EMPLOYEE’S CONVERSION CALL OPTION
    	
 
    	
13
    
	
 
    	
 
    	
 
    	
 
    
	
19
    	
CORPORATE EVENTS
    	
 
    	
13
    
	
 
    	
 
    	
 
    	
 
    
	
20
    	
RECOVERY OF EMPLOYEE’S   TAX
    	
 
    	
14
    
	
 
    	
 
    	
 
    	
 
    
	
21
    	
RELATIONSHIP WITH   EMPLOYMENT
    	
 
    	
14
    
	
 
    	
 
    	
 
    	
 
    
	
22
    	
POWER OF ATTORNEY
    	
 
    	
14
    
	
 
    	
 
    	
 
    	
 
    
	
23
    	
CHANGE OF ADDRESS
    	
 
    	
15
    
	
 
    	
 
    	
 
    	
 
    
	
24
    	
APPLICABLE LAW
    	
 
    	
15
    
	
 
    	
 
    	
 
    	
 
    
	
25
    	
SERVICE OF DOCUMENTS
    	
 
    	
15
    

 

7

 

	
26
    	
AUTHORITY TO AGREE   VALUE FOR TAX PURPOSES
    	
 
    	
15
    
	
 
    	
 
    	
 
    	
 
    
	
27
    	
DEATH OF THE EMPLOYEE
    	
 
    	
15
    
	
 
    	
 
    	
 
    	
 
    
	
28
    	
ALTERATION OF THIS   AGREEMENT
    	
 
    	
16
    
	
 
    	
 
    	
 
    	
 
    
	
29
    	
THIRD PARTY RIGHTS
    	
 
    	
16
    
	
 
    	
 
    	
 
    	
 
    
	
30
    	
DATA PROTECTION
    	
 
    	
16
    
	
 
    	
 
    	
 
    	
 
    
	
31
    	
COUNTERPARTS
    	
 
    	
16
    
	
 
    	
 
    	
 
    	
 
    
	
APPENDIX 1
    	
 
    	
18
    
	
 
    	
 
    	
 
    	
 
    
	
Appendix 2
    	
 
    	
19
    
	
 
    	
 
    	
 
    	
 
    
	
APPENDIX 3
    	
 
    	
20
    
	
 
    	
 
    	
 
    	
 
    
	
APPENDIX 4
    	
 
    	
21
    

 

8

 

THE HENDERSON EXECUTIVE SHARED OWNERSHIP PLAN

JOINT OWNERSHIP AGREEMENT

 

THIS AGREEMENT is made the [  ] day of [                                       ]

 

BETWEEN:-

 

(1)                                 ACS HR SOLUTIONS SHARE PLAN SERVICES (GUERNSEY) LIMITED (registered in Guernsey with company number 47785) whose registered office is at 11 New Street, St Peter Port, Guernsey GY1 2PF in its capacity as trustee of the Henderson Employee Trust 2009 (the “Transferor”);

 

(2)                                 [EMPLOYEE] of [address] (the “Employee”);

 

(3)                                 ACS HR SOLUTIONS SHARE PLAN SERVICES (GUERNSEY) LIMITED (registered in Guernsey with company number 47785) whose registered office is at 11 New Street, St Peter Port, Guernsey GY1 2PF in its capacity as trustee of the Henderson Employee Share Ownership Trust (the “Co-Owner”); and

 

(4)                                 HENDERSON GROUP PLC (registered in Jersey with registered number 101484) whose registered office is at 47 Esplanade, St Helier, Jersey JE1 0BD (the “Company”).

 

WHEREAS:-

 

(A)                               The Employee is an employee of Henderson Administration Limited (“HAL”).

 

(B)                               The Co-Owner is the sole trustee of the Henderson Employee Share Ownership Trust, a settlement for the benefit of employees and former employees (and their respective dependants) of Henderson Global Investors (Holdings) Plc (“HGIH”) and any of its participating associated companies from time to time (the “HESO Trust”).

 

(C)                               Pursuant to an Instrument of Participation (dated 16 September 2008) between (1) HAL, (2) HGIH and (3) the Co-Owner, HAL is a participating company for the purposes of the HESO Trust.

 

(D)                               The Employee and the Co-Owner wish to acquire from the Transferor, and the Transferor has agreed to transfer to the Employee and the Co-Owner (acting jointly), the whole of the unencumbered beneficial interest in fully-paid ordinary shares in the capital of the Company (the “Shares”) upon and subject to the terms of Clause 3 of this Agreement.

 

(E)                                The Employee and the Co-Owner have agreed to hold the Shares, and exercise the rights attaching to the Shares, upon the terms set out in this Agreement.

 

NOW IT IS HEREBY AGREED as follows:-

 

1.                                      DEFINITIONS

 

1.1                               In this Agreement and the recitals above:-

 

	
“Articles”
    	
 
    	
means the articles of association of the Company as   amended from time to time
    
	
 
    	
 
    	
 
    
	
“Award Date”
    	
 
    	
means the date of this Agreement
    
	
 
    	
 
    	
 
    
	
“Change of   Control”
    	
 
    	
means another person either:-
    

 

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(a)                       obtaining   Control of the Company;

 

(i)                                     as a result of   that person (either alone or together with any person acting in concert with   him) making a general offer to acquire the whole of the share capital of the   Company (other than those shares which are already owned by him and/or any   person acting in concert with him); or

 

(ii)                                  pursuant to the   taking effect of a scheme of arrangement sanctioned by the court pursuant to   Article 125 of the Companies (Jersey) Law 1991;

 

or

 

(b)                       becoming bound or entitled to   give a notice under Part 18 of the Companies (Jersey) Law 1991 to   acquire shares in the Company

 

UNLESS   in any such circumstances the persons who together are the   shareholders of the company which has acquired Control of the Company   immediately after such Change of Control comprise substantially all of the   persons who were members of the Company immediately before such Change of   Control and hold their shares in such company in similar proportions to those   in which they held their Shares in the Company immediately before such Change   of Control (and for these purposes “substantially” shall be taken to mean at   least 75 per cent)
    
	
 
    	
 
    	
 
    
	
“Committee”
    	
 
    	
means the remuneration committee of the directors of   the Company
    
	
 
    	
 
    	
 
    
	
“Company”
    	
 
    	
means Henderson Group plc (registered in Jersey   No. 101484)
    
	
 
    	
 
    	
 
    
	
“Control”
    	
 
    	
has the meaning given in section 995 of the Income   Tax Act 2007
    
	
 
    	
 
    	
 
    
	
“Co-Owner’s   Call Options”
    	
 
    	
means any of the rights granted to the Co-Owner in   Clause 13
    
	
 
    	
 
    	
 
    
	
“Co-Owner’s   Interest”
    	
 
    	
means, on any given day, the interest of the   Co-Owner in the Jointly Owned Shares
    
	
 
    	
 
    	
 
    
	
“Dealing   Day”
    	
 
    	
means a day on which the London Stock Exchange is   open for business
    
	
 
    	
 
    	
 
    
	
“Directors”
    	
 
    	
means the directors of the Company
    
	
 
    	
 
    	
 
    
	
“Employee’s   Interest”
    	
 
    	
means, on any given day, the interest of the   Employee in the Jointly Owned Shares
    
	
 
    	
 
    	
 
    
	
“Employee   Tax Liability”
    	
 
    	
in relation to the Employee, any liability of the   Employer Company to account to HMRC for any amount of, or representing,   income tax or NICs which may arise upon any disposal or part-disposal of the   Jointly Owned Shares or of the Employee’s Interest or otherwise in connection
    

 

2

 

	
 
    	
 
    	
with or in consequence of anything done or deemed or   omitted to be done pursuant to or in connection with the acquisition, holding   and disposal of the Jointly Owned Shares or of the Employee’s Interest   (including any liability which arises under section 222 of ITEPA in relation   to any failure to make good any such amount of income tax accounted for by   any member of the Group)
    
	
 
    	
 
    	
 
    
	
“Employee’s
    	
 
    	
means, on any given day, the proportion (expressed   as a
    
	
 
    	
 
    	
 
    
	
Percentage”
    	
 
    	
percentage) of the aggregate proceeds of sale of all   of the Jointly Owned Shares which would be due to the Employee if all of the   Jointly Owned Shares were sold in the market on that day or, if that day is   not a Dealing Day, on the last preceding Dealing Day
    
	
 
    	
 
    	
 
    
	
“Employee’s   Call Option”
    	
 
    	
means the right granted to the Employee by Clause 12
    
	
 
    	
 
    	
 
    
	
“Employer   Company”
    	
 
    	
means, the company which is obliged, under regulations   made under section 684 of ITEPA or the laws, regulations and practices   currently in force relating to liability for, and the collection of, NICs, to   account for any Employee Tax Liability
    
	
 
    	
 
    	
 
    
	
“Fifth   Anniversary”
    	
 
    	
means the fifth anniversary of the Award Date
    
	
 
    	
 
    	
 
    
	
“Good   Leaver”
    	
 
    	
means the Employee Leaving by reason of:-
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(a)                       death;

 

(b)                       injury, disability or   ill-health;

 

(c)                        redundancy (within the   meaning of the Employment Rights Act 1996);

 

(d)                       retirement;

 

(e)                        his employing company ceasing   to be a member of the Group;

 

(f)                         the business (or part of a   business) in which he is employed being transferred to a transferee which is   not a member of the Group; or

 

(g)                        any other reason (not set out   in sub-clauses (a) to (f) of this definition) the Committee so   decides in its absolute discretion (acting fairly and reasonably)
    
	
 
    	
 
    	
 
    
	
“Group”
    	
 
    	
means the Company and every other company which is a   Subsidiary and is under the Control of the Company
    
	
 
    	
 
    	
 
    
	
“HESO Trust”
    	
 
    	
means the Henderson Employee Share Ownership Trust
    
	
 
    	
 
    	
 
    
	
“HMRC”
    	
 
    	
means Her Majesty’s Revenue & Customs
    
	
 
    	
 
    	
 
    
	
“Hurdle”
    	
 
    	
means, on any given day, the amount, £X, determined   as follows:-
    

 

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where Y is the number of days in the period   beginning with the date of this Agreement and ending on such given day or, if   earlier, the third anniversary of the date of this Agreement
    
	
 
    	
 
    	
 
    
	
“IMV of a   Jointly Owned
    	
 
    	
means the average of the middle market quotations of   a Share as derived from the Daily
    
	
 
    	
 
    	
 
    
	
Share”
    	
 
    	
Official List of the London Stock Exchange for the   five Dealing Days last preceding the date of this Agreement or, if greater,   the Market Value of a Share on the date of this Agreement
    
	
 
    	
 
    	
 
    
	
“Initial   Market Value of the Jointly Owned
    	
 
    	
means such amount as is equal to:-
    
	
 
    	
 
    	
 
    
	
Shares”
    	
 
    	
A x B
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
where:-

 

A                                       is   the IMV of a Jointly Owned Share; and

 

B                                       is   the number of Jointly Owned Shares immediately following the execution of   this Agreement
    
	
 
    	
 
    	
 
    
	
“ITEPA”
    	
 
    	
means the Income Tax (Earnings & Pensions)   Act 2003
    
	
 
    	
 
    	
 
    
	
“Joint   Owners”
    	
 
    	
means the Co-Owner and the Employee
    
	
 
    	
 
    	
 
    
	
“Jointly   Owned Shares”
    	
 
    	
the number of Shares acquired by the Joint Owners   pursuant to Clause 3.1 of this Agreement and, which, at any given time,   remain held jointly by the Joint Owners and such other shares or securities   as may be acquired by the Joint Owners pursuant to Clause 9 (and see Clauses   10 and 11)
    
	
 
    	
 
    	
 
    
	
“Leaves”
    	
 
    	
means the Employee ceasing to hold office or   employment with any member of the Group so that he or she no longer holds   office or employment with any member of the Group
    
	
 
    	
 
    	
 
    
	
“Leaving   Date”
    	
 
    	
means the date on which the Employee Leaves
    
	
 
    	
 
    	
 
    
	
“Listing   Rules”
    	
 
    	
means the Listing Rules issued by the UK   Listing Authority as amended from time to time
    
	
 
    	
 
    	
 
    
	
“London   Stock Exchange”
    	
 
    	
means London Stock Exchange plc
    
	
 
    	
 
    	
 
    
	
“Market   Value”
    	
 
    	
has the meaning given in Part VIII of the TCGA
    
	
 
    	
 
    	
 
    
	
“Model Code”
    	
 
    	
means the code adopted by the Company which contains   provisions similar in purpose and effect to the provisions of the Model Code   on Directors’ Dealings in Securities as set out in the Listing Rules
    
	
 
    	
 
    	
 
    
	
“NICs”
    	
 
    	
means National Insurance contributions
    

 

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“Ownership Ratio”
    	
 
    	
means, in relation to a Jointly Owned Share on any   given day, the ratio (Co-Owner) A: B (Employee) where:-
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
A                                       is   either (a) the aggregate of the Threshold Amount and the Hurdle less   0.01p (one- hundredth of one penny) or, if less, (b) the Market Value of   a Jointly Owned Share on that day less C/D x 0.01p (one-hundredth of one   penny)) per Share where:-

 

C                                       is   the Market Value of a Jointly Owned Share on that day; and

 

D                                       is   the Threshold Amount; and

 

B                                       is   the Market Value of a Share on that day less A
    
	
 
    	
 
    	
 
    
	
“Personal   Information”
    	
 
    	
means personal information about the Employee   including his name, home address, telephone number, e-mail address, date of   birth, national insurance number, salary details, nationality, domicile, tax   residence, any Shares or interests in Shares or directorships held in any   member of the Group, details of all entitlements to shares in the Company   awarded to him and any other information of a personal nature which might or   could be used to identify him
    
	
 
    	
 
    	
 
    
	
“Personal Representatives”
    	
 
    	
means the legal personal representatives of the   Employee, being either the executors of his will to whom a valid grant of   probate has been made or, if he dies intestate, the duly appointed   administrator(s) of his estate who have provided to the Co-Owner evidence   of their appointment as such
    
	
 
    	
 
    	
 
    
	
“Qualifying   Corporate Bond”
    	
 
    	
has the meaning given by section 117 of the TCGA
    
	
 
    	
 
    	
 
    
	
“Redundancy”
    	
 
    	
has the meaning given in the Employment Rights Act   1996
    
	
 
    	
 
    	
 
    
	
“Relevant   Date”
    	
 
    	
means, as appropriate, either the Leaving Date or   the date on which the Employee is declared bankrupt
    
	
 
    	
 
    	
 
    
	
“Rights   Issue”
    	
 
    	
means a conferment of rights in respect of any   Jointly Owned Shares to be allotted, on payment, other shares or securities   or rights of any description in the same company
    
	
 
    	
 
    	
 
    
	
“Share”
    	
 
    	
means a fully-paid ordinary share of 12.5p nominal   value in the capital of the Company
    
	
 
    	
 
    	
 
    
	
“Subsidiary”
    	
 
    	
means any company which is a subsidiary (within the   meaning of section 1159 of the Companies Act 2006) of the Company
    
	
 
    	
 
    	
 
    
	
“Taxes Act”
    	
 
    	
means the Income and Corporation Taxes Act 1988
    

 

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“TCGA”
    	
 
    	
means the Taxation of Chargeable Gains Act 1992
    
	
 
    	
 
    	
 
    
	
“Threshold   Amount”
    	
 
    	
means the IMV of a Jointly Owned Share (adjusted as appropriate   from time to time in accordance with Clause 6 of this Agreement)
    
	
 
    	
 
    	
 
    
	
“Trust Deed”
    	
 
    	
means the deed dated 3 March 2000 constituting   the Henderson Employee Trust 2009 of which the Transferor is the sole trustee
    
	
 
    	
 
    	
 
    
	
“UK Listing   Authority”
    	
 
    	
means the Financial Services Authority in its   capacity as the competent authority for the purposes of Part VI of the   Financial Services and Markets Act 2000
    
	
 
    	
 
    	
 
    
	
“Unvested   Percentage”
    	
 
    	
means 100 per cent minus the Vested Percentage
    
	
 
    	
 
    	
 
    
	
“Vested   Percentage”
    	
 
    	
means the fraction N/36 expressed   as a percentage (where N is the   period measured in complete months from the Award Date to the Leaving Date).   In no event shall N exceed 36
    
	
 
    	
 
    	
 
    
	
“Vesting   Date”
    	
 
    	
means the third anniversary of the Award Date
    
	
 
    	
 
    	
 
    
	
“Winding-Up”
    	
 
    	
means notice being duly given of a resolution for a   voluntary winding-up of the Company
    

 

2.                                      INTERPRETATION

 

2.1                               For the purposes of the interpretation of this Agreement:-

 

2.1.1                     no account shall be taken of the clause headings which have been inserted for ease of reference only; and

 

2.1.2                     references to any statutory provision shall be read and construed as references to such provision as amended or re-enacted from time to time.

 

2.2                               References in this Agreement to the “Co-Owner” shall be read and construed as including a reference to the trustee or trustees for the time being of the HESO Trust.

 

3.                                      INITIAL ACQUISITION OF SHARES

 

3.1                               In the exercise of the powers conferred upon the Transferor by clause 7(6) of the Trust Deed and any and every other power so enabling the Transferor and in consideration of the payment to the Transferor by the Employee of 1p (one penny) per Share and by the Co-Owner of the IMV of a Jointly Owned Share less 1p (one penny) per Share (receipt whereof the Transferor hereby acknowledges) the Transferor HEREBY TRANSFERS to the Employee and the Co-Owner beneficial ownership of [   ] Shares to the intent that the whole of the unencumbered beneficial interest in such Shares shall henceforth be owned jointly by the Employee and the Co-Owner (the latter in its capacity as trustee of the HESO Trust) in undivided shares (as tenants in common) upon and subject to the following terms of this Agreement.

 

3.2                               For the avoidance of doubt, the beneficial interest of each of the Joint Owners in the Jointly Owned Shares shall subsist in the whole of each of the Jointly Owned Shares in accordance with this Agreement and is not a right to sole beneficial ownership of any particular Shares comprised in that joint holding.

 

3.3                               The Transferor HEREBY ACKNOWLEDGES AND AGREES that, for so long as the Transferor retains legal title to the Jointly Owned Shares, the Transferor shall hold the Jointly Owned Shares as bare trustee for the Joint Owners and shall deal with the

 

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Jointly Owned Shares and all of the rights attaching to the Jointly Owned Shares only in accordance with the instructions of the Joint Owners.

 

3.4                               The Employee AGREES AND UNDERTAKES to join with the Employer Company in making an irrevocable election pursuant to section 431(1) of ITEPA in the form set out in Appendix 4 to this Agreement or in such other form as may be approved by HMRC, within the period of 14 days beginning with the date of this Agreement.

 

3.5                               The Employee HEREBY AGREES:-

 

3.5.1                     to indemnify the Employer Company against any liability of the Employer Company to account to HMRC for any amount of, or representing, income tax or employees’ primary Class 1 NICs arising in respect of the acquisition by the Employee of the Employee’s Interest pursuant to this Agreement; and

 

3.5.2                     that his Employer Company may deduct and withhold from any payment to the Employee of salary, bonus or other cash sum made after the date of this Agreement an amount sufficient to satisfy the Employee’s indemnity in Clause 3.5.1.

 

4.                                      OWNERSHIP BY THE JOINT OWNERS OF THE JOINTLY OWNED SHARES

 

4.1                               The Joint Owners shall deal with the Jointly Owned Shares and the rights attaching to the Jointly Owned Shares only in accordance with the following terms of this Agreement and the Articles.

 

4.2                               Neither of the Joint Owners shall transfer or create any rights in or over their interest in any of the Jointly Owned Shares without the prior written consent of the other Joint Owner.

 

4.3                               If the Joint Owners receive notice of a proposed reorganisation or reconstruction of the Group, in consequence of which the Company shall remain under the Control of the same person or persons who had (or together had) Control (whether directly or indirectly) of the Company immediately before the coming into effect of such reorganisation or reconstruction, the Joint Owners shall take all such actions as shall, in the opinion of the Directors, be necessary or appropriate to give effect to such reorganisation or reconstruction PROVIDED THAT neither of the Joint Owners shall be obliged to do so unless the Directors have confirmed in writing to the Joint Owners that, in the reasonable opinion of the Directors, the value (immediately after completion of the proposed reorganisation or reconstruction) of the shares or other securities which the Joint Owners shall, under the terms of the proposed reorganisation or reconstruction, receive as consideration for a disposal of the Jointly Owned Shares, shall be not less than the value of the Jointly Owned Shares immediately before the proposed reorganisation or reconstruction has effect.

 

5.                                      DIVISION OF PROCEEDS OF SALE

 

5.1                               Subject to the following provisions of this Clause 5, if on any occasion a Jointly Owned Share is sold by the Joint Owners, the aggregate amount or value of the proceeds of sale of such Jointly Owned Share shall be divided between and paid to each of the Joint Owners on the basis that:-

 

5.1.1                     the Employee shall receive 0.01p (one-hundredth of one penny) plus such amount (if any) of the proceeds of sale as exceeds the aggregate of the Threshold Amount and the Hurdle; and

 

5.1.2                     the Co-Owner shall receive the balance of the proceeds of sale.

 

5.2                               If on such day the Market Value of the Jointly Owned Share is less than the IMV of the Jointly Owned Shares as divided by the number of Jointly Owned Shares at the date

 

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of this Agreement, the references in Clauses 5.1.1 and 6.1 to “0.01p (one hundredth of one penny)” shall be construed as a reference to (C/D x 0.01p (one-hundredth of one penny)) per Share where:-

 

C                                       is the Market Value of a Share on that day (or, if that is not a Dealing Day, the last preceding Dealing Day); and

 

D                                       is the IMV of a Jointly Owned Share.

 

5.3                               Any costs or expenses of such a sale shall be divided between and borne by the Joint Owners in the Ownership Ratio on the date of such sale.

 

5.4                               References in this Clause 5 to a sale, and related expressions, shall be read and construed as including any other disposal, or part disposal, for value of any of the Jointly Owned Shares or of any interest in or rights over any of the Jointly Owned Shares.

 

6.                                      ADJUSTMENT OF THE THRESHOLD AMOUNT

 

6.1                               The Threshold Amount shall be adjusted from time to time as may be necessary or appropriate to take proper account of:-

 

6.1.1                     any variation in the share capital of which the Jointly Owned Shares form part; and

 

6.1.2                     any reorganisation or reconstruction of the Company (or of such other company, the capital of which the Jointly Owned Shares then form part) and any demerger of any member of the Group (or of any other such company)

 

to the intent that the Employee’s Interest in each of the Shares acquired by the Joint Owners pursuant to Clause 3 shall, subject to Clause 5.2, be equivalent, in terms of value, to (i) 0.01p (one hundredth of one penny) plus (ii) the amount of any growth in the Market Value of such Share in excess of the IMV of a Jointly Owned Share, less the Hurdle.

 

7.                                      DIVIDENDS

 

7.1                               Any dividends paid on a Jointly Owned Share shall be divided between, and paid to, each of the Joint Owners in the Ownership Ratio on the first Dealing Day on which Shares are quoted ex. that dividend.

 

7.2                               Unless otherwise determined by agreement between the Joint Owners, dividends shall be taken in cash and the Transferor shall be instructed not to exercise any right to elect for dividends to be taken in shares or any other form.

 

8.                                      VOTING RIGHTS

 

8.1                               Unless on any occasion the Joint Owners otherwise agree:-

 

8.1.1                     subject to Clause 8.2, if, on the date which falls 20 working days before the relevant meeting of shareholders, the Employee’s Percentage is greater than 50%, the Co-Owner shall join with the Employee in instructing the Transferor to cast all of the votes attaching to the Jointly Owned Shares in accordance with the wishes of the Employee;

 

8.1.2                     if, on the date which falls 20 working days before the relevant meeting of shareholders, the Employee’s Percentage is less than or equal to 50%, the Joint Owners shall refrain from instructing the Transferor to cast votes attaching to any of the Jointly Owned Shares.

 

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8.2                               The Co-Owner shall be under no obligation to instruct the Transferor to cast votes as mentioned in Clause 8.1.1 unless the Co-Owner has received from the Employee, not less than 10 working days (or such other period as the Co-Owner may from time to time agree) before the relevant meeting of shareholders, instructions duly given in accordance with Clause 8.1.1.

 

9.                                      RIGHTS ISSUES

 

9.1                               In the event of a Rights Issue, the Joint Owners shall determine whether to put the Transferor in funds sufficient to take up the rights in full or part.

 

9.2                               In the absence of agreement between the Joint Owners, the Transferor shall sell sufficient of the rights (nil paid) to fund the exercise of the balance of such rights and thereafter references in this Agreement to the Jointly Owned Shares shall be construed as references to the additional Shares acquired pursuant to the exercise of the balance of such rights.

 

9.3                               Any shares securities or other rights acquired under a Rights Issue otherwise than as mentioned in Clause 9.2 shall not form part of the Jointly Owned Shares, but shall be divided between and vested in each of the Joint Owners as nearly as may be in proportion to the amounts respectively contributed by each of them to take up the rights.

 

10.                               COMPANY REORGANISATIONS (INCLUDING CAPITALISATION ISSUES)

 

10.1                        Subject to Clauses 6 and 9, if there occurs a reorganisation of a company, shares in which form all or part of the Transferor’s holding of Jointly Owned Shares, references in this Agreement to the Jointly Owned Shares shall be construed, after the occurrence of such reorganisation, as being or, as the case may be, as including, references to the new holding.

 

10.2                        For the purposes of Clause 10.1, “reorganisation” and “new holding” shall have the meanings given in section 126 of the TCGA.

 

11.                               COMPANY RECONSTRUCTIONS AND AMALGAMATIONS

 

11.1                        If there occurs in relation to any of the Jointly Owned Shares (“the original holding”):-

 

11.1.1              a transaction which results in a new holding being equated with the original holding for the purposes of capital gains tax; or

 

11.1.2              a transaction that would have that result but for the fact that what would be the new holding consists of or includes a Qualifying Corporate Bond

 

references in this Agreement to the Jointly Owned Shares shall be construed, after the time of such transaction, as being or, as the case may be, as including references to any new shares or securities.

 

12.                               THE EMPLOYEE’S CALL OPTION

 

12.1                        The Co-Owner HEREBY GRANTS to the Employee the right, subject to Clauses 15 and 17, exercisable at any time after the Vesting Date and before the Fifth Anniversary, to call upon the Co-Owner to join with the Employee in selling in the market some or all of the Jointly Owned Shares at the best price which can reasonably be obtained for a for a sale of the Jointly Owned Shares at that time (the “Employee’s Call Option”).

 

12.2                        The Employee’s Call Option pursuant to Clause 12.1 shall be exercised by the Employee giving written notice to the Co-Owner expressed to be pursuant to Clause 12.1 and upon receipt of such notice by the Co-Owner, the Joint Owners shall

 

9

 

use their best endeavours to procure a sale of the relevant number of the Jointly Owned Shares as soon as is practicable or, if at that time either the Co-Owner or the Employee is or would be restricted from selling any of the Jointly Owned Shares by the requirements of any law, regulation or code of practice (such as the Model Code), as soon as is practicable after all such restrictions are lifted.

 

13.                               THE CO-OWNER’S CALL OPTIONS

 

Co-Owner’s Call Option: (i) bankruptcy or (ii) Employee Leaves and is not a Good Leaver

 

13.1                        The Employee HEREBY GRANTS to the Co-Owner the right, exercisable as mentioned in Clause 13.2, to acquire from the Employee the whole of the Employee’s Interest at a price per Share of 0.01p (one hundredth of one penny).

 

13.2                        The right granted to the Co-Owner in Clause 13.1 shall be exercisable if, at any time the Employee either (i) is declared bankrupt or (ii) Leaves and is not a Good Leaver.

 

Co-Owner’s Call Option: Good Leaver

 

13.3                        The Employee HEREBY GRANTS to the Co-Owner the right, exercisable as mentioned in Clause 13.5:-

 

(a)                                 to acquire from the Employee the Unvested Percentage of the Employee’s Interest at a price per Jointly Owned Share of 0.01p (one hundredth of one penny); and

 

(b)                                 subject to Clauses 15 and 17, to call upon the Employee to join with the Co-Owner in selling in the market (at the best price which can reasonably be obtained for a sale of the Jointly Owned Shares at that time) the balance remaining of the Jointly Owned Shares.

 

13.4                        The Co-Owner’s Call Option pursuant to Clause 13.3(b) shall be exercised by the Co-Owner giving written notice to the Employee expressed to be pursuant to Clause 13.3(b) of this Agreement and upon receipt of such notice by the Employee, the Joint Owners shall use their best endeavours to procure a sale of the relevant number of Jointly Owned Shares as soon as is practicable or, if at that time either the Co-Owner or the Employee is or would be restricted from selling any of the Jointly Owned Shares by the requirements of any law, regulation or code of practice (such as the Model Code), as soon as is practicable after all such restrictions are lifted.

 

13.5                        The right granted to the Co-Owner in Clause 13.3 shall be exercisable if, at any time before the Vesting Date, the Employee Leaves and is a Good Leaver.

 

13.6                        If the Employee ceases to be an employee of a member of the Group in circumstances in which he retains a statutory right to return to work, then he shall be treated as not having ceased to be such an employee until such time (if at all) as he ceases to have such a right to return to work.

 

Co-Owner’s Call Option: Post Vesting Date

 

13.7                        The Employee HEREBY GRANTS to the Co-Owner the right, subject to Clauses 15 and 17, exercisable at any time after the Fifth Anniversary, to call upon the Employee to join with the Co-Owner in selling in the market some or all of the Jointly Owned Shares at the best price which can reasonably be obtained for a for a sale of the Jointly Owned Shares at that time.

 

13.8                        The Co-Owner’s Call Option pursuant to Clause 13.8 shall be exercised by the Co-Owner giving written notice to the Employee expressed to be pursuant to Clause 13.7 of this Agreement and upon receipt of such notice by the Employee, the Joint Owners

 

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shall use their best endeavours to procure a sale of the relevant number of the Jointly Owned Shares as soon as is practicable or, if at that time either the Co-Owner or the Employee is or would be restricted from selling any of the Jointly Owned Shares by the requirements of any law, regulation or code of practice (such as the Model Code), as soon as is practicable after all such restrictions are lifted.

 

Consequences of a fall in Market Value of a Share

 

13.9        The references in each of Clauses 13.1 and 13.3 to “0.01p (one-hundredth of one penny)” shall, if the Market Value of the Share is then less than the Threshold Amount plus the Hurdle, less 0.01p (one-hundredth of one penny), be read and construed as references to an amount equal to (C/D x 0.01p (one-hundredth of one penny)) where:-

 

C                                       is the Market Value of a Share on the Relevant Date (or, if that is not a Dealing Day, the last preceding Dealing Day); and

 

D                                       is the IMV of a Jointly Owned Share.

 

14.                               MANNER OF EXERCISE OF THE CO-OWNER’S CALL OPTIONS

 

14.1                        The Co-Owner’s Call Options shall each be exercised by the Co-Owner giving the Employee written notice in the form set out in Appendix 1 to this Agreement.

 

14.2                        The Co-Owner shall give the Company a copy of any notice of exercise of any of the Co-Owner’s Call Options given to the Employee on any occasion.

 

Completion of buy-back of Employee’s Interest

 

14.3        Completion of the sale and transfer of the whole or any part of the Employee’s Interest pursuant to the exercise of a Co-Owner’s Call Option shall take place within 21 days after notice of exercise of any of the Co-Owner’s Call Options is received by the Employee or, if at any time within such period of 21 days either the Co-Owner or the Employee is or would be restricted from doing so under the requirements of any law, regulation or code of practice (such as the Model Code), within the period of 21 days beginning with the date on which all such restrictions are lifted.

 

15.          THE CO-OWNER’S CONVERSION CALL OPTION

 

15.1        The provisions of this Clause 15 may be applied as a means of providing for the acquisition by each of the Joint Owners of the whole of the beneficial interest in the appropriate proportion of the Jointly Owned Shares.

 

15.2        The Employee HEREBY GRANTS to the Co-Owner the right, exercisable as mentioned in Clauses 15.3 and 15.4, to call upon the Employee to transfer to, or to the order of, the Co-Owner the Employee’s Interest in a number of the Relevant Jointly Owned Shares (X) in consideration of a transfer to the Employee of the Co-Owner’s Interest in the balance of the Relevant Jointly Owned Shares, to the intent that the Employee shall thereafter hold the entire (undivided) beneficial interest in such balance of the Relevant Jointly Owned Shares.

 

15.3        The right granted to the Co-Owner in Clause 15.2 shall be exercisable at any time after the Vesting Date or, if earlier, after the exercise of any of the Co-Owner’s Call Options.

 

15.4        For the purposes of Clause 15.2:-

 

15.4.1     X shall be determined as follows:-

 

11

 

 

	
where:
    	
A
    	
 
    	
is the number of Relevant Jointly Owned Shares
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
B
    	
 
    	
is the value of the Employee’s Interest which would   be realised by the Employee if the Relevant Jointly Owned Shares were to be   sold in the market on the Relevant Day
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
AMV
    	
 
    	
is the Market Value of the Relevant Jointly Owned   Shares on the Relevant Day
    

 

15.4.2     the “Relevant Jointly Owned Shares” are those shares that remain Jointly Owned Shares following, where the right granted to the Co-Owner in Clause 15.2 is exercised after the exercise of the Employee’s Call Option or any of the Co-Owner’s Call Options, such exercise; and

 

15.4.3     the “Relevant Day” shall be the day on which notice of exercise of the right granted to the Co-Owner in Clause 15.2 is given by the Co-Owner to the Employee or, if that day is not a Dealing Day, the next following Dealing Day.

 

16.          MANNER OF EXERCISE OF THE CO-OWNER’S CONVERSION CALL OPTION

 

16.1        The Co-Owner’s Conversion Call Option shall be exercised by the Co-Owner giving the Employee written notice in the form set out in Appendix 2 to this Agreement.

 

16.2        The Co-Owner shall give the Company a copy of any notice of exercise of the Co-Owner’s Conversion Call Option given to the Employee on any occasion.

 

Completion of buy-back of Co-Owner’s Interest

 

16.3        Completion of the transfer of any part of the Employee’s Interest pursuant to the exercise of the Co-Owner’s Conversion Call Option shall take place within 21 days after such notice is received by the Employee or, if at any time within such period of 21 days either the Co-Owner or the Employee is or would be restricted from doing so under the requirements of any law, regulation or code of practice (such as the Model Code), within the period of 21 days beginning with the date on which all such restrictions are lifted.

 

17.          THE EMPLOYEE’S CONVERSION CALL OPTION

 

17.1        The provisions of this Clause 17 may be applied as a means of providing for the acquisition by each of the Joint Owners of the whole of the beneficial interest in the appropriate proportion of the Jointly Owned Shares.

 

17.2        The Co-Owner HEREBY GRANTS to the Employee the right, exercisable as mentioned in Clauses 17.3 and 17.4, to call upon the Co-Owner to transfer to, or to the order of, the Employee the Co-Owner’s Interest in a number of the Relevant Jointly Owned Shares (X) in consideration of a transfer to the Co-Owner of the Employee’s Interest in the balance of the Relevant Jointly Owned Shares, to the intent that the Co- Owner shall thereafter hold the entire (undivided) beneficial interest in such balance of the Relevant Jointly Owned Shares. For these purposes, X shall be determined as follows:-

 

12

 

17.3        The right granted to the Employee in Clause 17.2 shall be exercisable at any time after the Vesting Date or, if earlier, after the exercise by the Co-Owner of any of the Co-Owner’s Call Options.

 

17.4        For the purposes of Clause 17.2:-

 

17.4.1     X shall be determined as follows:-

 

	
where:
    	
A
    	
 
    	
is the number of Relevant Jointly Owned Shares
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
B
    	
 
    	
is the value of the Co-Owner’s Interest which would   be realised by the Co-Owner if the Relevant Jointly Owned Shares were to be   sold in the market on the Relevant Day
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
AMV
    	
 
    	
is the Market Value of the Relevant Jointly Owned   Shares on the Relevant Day
    

 

17.4.2     the “Relevant Jointly Owned Shares” are those shares that remain Jointly Owned Shares following, where the right granted to the Employee in Clause 17.2 is exercised after the exercise of the Employee’s Call Option or any of the Co-Owner’s Call Options, such exercise ; and

 

17.4.3     “the Relevant Day” shall be the day on which notice of exercise of the right granted to the Employee in Clause 17.2 is given by the Employee to the Co-Owner or, if that day is not a Dealing Day, the next following Dealing Day.

 

17.5        The Employee’s Conversion Call Option shall be exercised by the Employee giving the Co-Owner written notice in the form set out in Appendix 3 to this Agreement.

 

18.          MANNER OF EXERCISE OF THE EMPLOYEE’S CONVERSION CALL OPTION

 

18.1        The Employee’s Conversion Call Option shall be exercised by the Employee giving the Co-Owner written notice in the form set out in Appendix 3 to this Agreement.

 

18.2        The Co-Owner shall give the Company a copy of any notice of exercise of any of the Employee’s Conversion Call Option given to the Co-Owner on any occasion.

 

Completion of buy-back of Co-Owner’s Interest

 

18.3        Completion of the transfer of any part of the Co-Owner’s Interest pursuant to the exercise of the Employee’s Conversion Call Option shall take place within 21 days after such notice is received by the Co-Owner or, if at any time within such period of 21 days either the Co-Owner or the Employee is or would be restricted from doing so under the requirements of any law, regulation or code of practice (such as the Model Code), within the period of 21 days beginning with the date on which all such restrictions are lifted.

 

19.          CORPORATE EVENTS

 

19.1        The following provisions shall apply on the occurrence of either:-

 

19.1.1     a Change of Control; or

 

13

 

19.1.2     a Winding-Up

 

(each a “Relevant Event”).

 

19.2        On the occurrence of a Relevant Event (whether before or after the Vesting Date), the Joint Owners may, as appropriate:-

 

19.2.1     accept an offer that has been made for the Shares;

 

19.2.2     dispose of Jointly Owned Shares; or

 

19.2.3     otherwise exercise any rights attaching to the Jointly Owned Shares.

 

20.          RECOVERY OF EMPLOYEE’S TAX

 

20.1                        The Employee HEREBY AGREES WITH AND UNDERTAKES to the Transferor, the Co-Owner and the Company that if an Employee Tax Liability arises the Employee shall, subject to the following provisions of this Clause 20, pay to the Employer Company, within 14 days of being notified by the Employer Company of the amount due, the full amount of such Employee Tax Liability.

 

20.2                        The Transferor shall have the right to deduct out of the proceeds of disposal of any of the Jointly Owned Shares, and pay to the Employer Company on behalf of the Employee, a sum to satisfy the Employee’s obligation under Clause 20.1.

 

20.3                        The Co-Owner shall have the right to deduct out of the proceeds of sale payable to the Employee upon the exercise of the Co-Owner’s Call Option, and pay to the Employer Company on behalf of the Employee, a sum sufficient to satisfy the Employee’s obligation under Clause 20.1.

 

20.4                        If an Employee Tax Liability arises, the Joint Owners shall, if the Co-Owner (acting at the request of the Company) so determines, sell in the market such number of the Jointly Owned Shares as will enable the Co-Owner to deduct and pay over to the Employer Company a sum sufficient to satisfy the obligation of the Employee to make good to the Employer Company the amount of any such Employee Tax Liability.

 

21.                               RELATIONSHIP WITH EMPLOYMENT

 

3.1                               The benefit afforded to the Employee by this Agreement shall not form part of the Employee’s entitlement to remuneration or benefits pursuant to his contract of employment with any member of the Group and the rights and obligations of the Employee under the terms of his contract of employment with any member of the Group shall not be affected by the Employee having entered into this Agreement.

 

3.2                               The Employee shall not be entitled to any, or any additional, damages or compensation for any loss of benefit under the terms of this Agreement, being a loss arising in consequence of the Employee giving or receiving notice of termination of employment with any member of the Group or ceasing to hold employment with any member of the Group for any reason whatsoever.

 

22.                               POWER OF ATTORNEY

 

22.1                        The Employee HEREBY APPOINTS any director of the Company to be the Employee’s lawful attorney for the purpose of signing all such documents and doing all such things as may be necessary or appropriate to give full effect to the terms of Clauses 3.5, 9.2, 13, 14, 15 and 20 of this Agreement.

 

22.2                        The power of attorney given in Clause 22.1 is given by way of security for the performance of the Employee’s obligations in Clauses 3.5, 9.2, 13, 14, 15 and 20 of

 

14

 

this Agreement, and is irrevocable in accordance with section 4 of the Powers of Attorney Act 1971.

 

23.                               CHANGE OF ADDRESS

 

The Employee HEREBY UNDERTAKES to the Co-Owner to notify the Co-Owner of any change in the Employee’s address for correspondence and for any communication relating to this Agreement.

 

24.                               APPLICABLE LAW

 

This Agreement shall be governed by and construed in all respects in accordance with English law.

 

25.                               SERVICE OF DOCUMENTS

 

25.1                        Any notice or document to be given by, or on behalf of, the Co-Owner to the Employee in accordance or in connection with this Agreement shall be duly given:-

 

25.1.1     if the Employee is an employee of any member of the Group, by delivering it to him at his place of work;

 

25.1.2     by sending it through the post in a pre-paid envelope to the address last known to the Co-Owner to be the Employee’s address and, if so sent, it shall be deemed to have been duly given on the date of posting; or

 

25.1.3     if the Employee holds employment with any member of the Group, by sending a facsimile transmission or electronic communication to a current facsimile number or electronic communication address at his place of work and, if so sent, it shall be deemed to have been given at the time of transmission.

 

25.2                        Any notice or document to be given by the Employee to the Co-Owner in accordance or in connection with this Agreement may be delivered, sent by post or facsimile transmission, but shall not in any event be duly given unless it is actually received by the secretary of the Co-Owner or such other individual as may from time to time be nominated by the Co-Owner and whose name and address is notified to the Employee.

 

26.                               AUTHORITY TO AGREE VALUE FOR TAX PURPOSES

 

The Employee hereby authorises the Employer Company to act as agent of the Employee in negotiating with HMRC (Shares Valuation) the taxable value, as at the date of this Agreement, of the Employee’s Interest for the purposes of determining the additional amount of income tax (if any) payable by the Employee under self-assessment on the acquisition of the Employee’s Interest.

 

27.                               DEATH OF THE EMPLOYEE

 

27.1                        If the Employee dies, the benefit of this Agreement shall, subject to Clause 27.2, enure to the benefit of the Employee’s Personal Representatives, who shall be entitled to enforce the obligations and liabilities of the Co-Owner as if the Personal Representatives had been a party to this Agreement.

 

27.2                        The obligations and liabilities of the Employee arising under or in consequence of this Agreement shall, if the Employee dies, be binding upon the Employee’s Personal Representatives.

 

15

 

28.          ALTERATION OF THIS AGREEMENT

 

28.1                        Subject to Clauses 28.2 and 28.3, the Joint Owners may at any time, and by the execution of a deed, alter or amend any of the provisions of this Agreement, other than the provisions of Clause 3.3.

 

28.2                        No alteration or amendment may be made under Clause 28.1 without the agreement of the Committee.

 

28.3                        Subject to Clause 28.4, no alteration or amendment under Clause 28.1 which is to the advantage of the Employee may be made to:-

 

(a)                                 the terms of this Agreement relating to the Employee’s entitlement to exercise the rights attaching to Shares (as set out in this Agreement); or

 

(b)           the adjustment of the Employee’s rights attaching to Shares (as set out in this Agreement) in the event of a capitalisation, rights issue or open offer, sub-division or consolidation of shares or reduction of capital, or any other variation of capital,

 

without the prior approval by ordinary resolution of the shareholders of the Company.

 

28.4                        Clause 28.3 shall not apply to the extent that the alteration or amendment is, in the opinion of the Directors, a minor alteration or amendment:-

 

(a)                                 to benefit the administration of this Agreement;

 

(b)                                 to take account of any change in legislation; or

 

(c)                                  to obtain or maintain favourable tax, exchange control or regulatory treatment for the Employee or for any member of the Group.

 

29.                               THIRD PARTY RIGHTS

 

Subject to Clause 27, neither this Agreement nor the Contracts (Rights of Third Parties) Act 1999 shall have the effect of giving any third party any rights under this Agreement and that Act shall not apply to the terms of this Agreement.

 

30.                               DATA PROTECTION

 

The Employee hereby agrees and consents to:-

 

30.1                        the collection, use and processing of Personal Information by the Transferor, the Co-Owner and any member of the Group for the purposes of giving effect to this Agreement; and

 

30.2                        the transfer of any Personal Information to the Transferor, the Co-Owner and any member of the Group for or in connection with such purposes.

 

31.                               COUNTERPARTS

 

This Agreement may be executed in any number of counterparts, and by the parties on separate counterparts, but shall not be effective until each party has executed at least one counterpart. Each counterpart shall constitute an original of this Agreement, but all of the counterparts shall together constitute but one and the same instrument.

 

16

 

EXECUTED hereto the day and year first before written

 

	
EXECUTED   as a Deed (but not delivered until dated) for
    	
)
    	
 
    
	
and on behalf of   ACS HR SOLUTIONS SHARE PLAN
    	
)
    	
 
    
	
SERVICES   (GUERNSEY) LIMITED in its capacity as
    	
)
    	
 
    
	
trustee of the   Henderson Employee Trust 2009
    	
)
    	
 
    
	
 
    	
Director
    
	
 
    	
 
    
	
 
    	
Authorised Signatory
    
	
 
    	
 
    	
 
    
	
EXECUTED   as a Deed (but not delivered until dated) by
    	
)
    	
 
    
	
[EMPLOYEE]   by his attorney   [         ] in the presence
    	
)
    	
 
    
	
of:-
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Signature of   Witness:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Name of Witness:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Address:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Occupation:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
EXECUTED   as a Deed (but not delivered until dated) for
    	
)
    	
 
    
	
and on behalf of   ACS HR SOLUTIONS SHARE PLAN
    	
)
    	
 
    
	
SERVICES   (GUERNSEY) LIMITED in its capacity as
    	
)
    	
 
    
	
trustee of the   Henderson Employee Share Ownership
    	
)
    	
 
    
	
Trust
    	
Director
    
	
 
    	
 
    
	
 
    	
Authorised Signatory
    
	
EXECUTED   as a Deed (but not delivered until dated) by
    	
 
    	
 
    
	
HENDERSON   GROUP PLC in the presence of:-
    	
 
    	
 
    
	
 
    	
Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Director/Secretary
    

 

17

 

APPENDIX 1

 

FORM OF NOTICE OF EXERCISE OF THE CO-OWNER’S CALL OPTION

 

(pursuant to Clause 13 of the Joint Ownership Agreement)

 

To:                           

 

We, ACS HR Solutions Share Plan Services (Guernsey) Limited, being the trustee of the Henderson Employee Share Ownership Trust, hereby give notice of the exercise of our right to acquire from you [the whole of your individual joint beneficial interest/the Unvested Percentage of your individual joint beneficial interest]* in the Jointly Owned Shares which were the subject of the Joint Ownership Agreement dated [          ] made between (1) ACS HR Solutions Share Plan Services (Guernsey) Limited, in its capacity as trustee of the Henderson Employee Trust 2009 (2) you (3) Henderson Group plc and (4) ourselves and as mentioned in Clause 13 of that Agreement.

 

We accept and undertake to procure that, in accordance with that Agreement, completion of the sale and transfer of such interest shall take place within 21 days after you receive this notice or, if at any time within such period of 21 days either of us is or would be restricted under the requirements of any law, regulation or code of practice (such as the Model Code) from doing so, within the period of 21 days beginning with the day on which all such restrictions are lifted.

 

	
Signed
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Date
    	
 
    	
 
    

 

*                                         Delete as appropriate

 

18

 

APPENDIX 2

 

FORM OF NOTICE OF EXERCISE OF THE CO-OWNER’S CONVERSION CALL OPTION

 

(pursuant to Clause 15 of the Joint Ownership Agreement)

 

To:                           

 

We, ACS HR Solutions Share Plan Services (Guernsey) Limited, being the trustee of the Henderson Employee Share Ownership Trust, hereby give notice of the exercise of our right to call upon you to transfer to us your interest in a number of the Jointly Owned Shares in exchange for the transfer to you of our interest in the balance of the Jointly Owned Shares (so that we each hold the entire beneficial interest in a whole number of Shares (as mentioned in Clause 15 of the Joint Ownership Agreement dated [   ] made between (1) ACS HR Solutions Share Plan Services (Guernsey) Limited, in its capacity as trustee of the Henderson Employee Trust 2009 (2) you (3) Henderson Group plc and (4) ourselves)).

 

We accept and undertake to procure that, in accordance with that Agreement, completion of the transfer of such interest shall take place within 21 days after you receive this notice or, if at any time within such period of 21 days either of us is or would be restricted under the requirements of any law, regulation or code of practice (such as the Model Code) from doing so, within the period of 21 days beginning with the day on which all such restrictions are lifted.

 

	
Signed
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Date
    	
 
    	
 
    

 

19

 

APPENDIX 3

 

FORM OF NOTICE OF EXERCISE OF THE EMPLOYEE’S CONVERSION CALL OPTION

 

(pursuant to Clause 17 of the Joint Ownership Agreement)

 

To:                                     ACS HR Solutions Share Plan Services (Guernsey) Limited (as trustee of the Henderson Employee Share Ownership Trust)

 

I, [Name of Employee], hereby give notice of the exercise of my right to call upon you to transfer to me your interest in a number of the Jointly Owned Shares in exchange for the transfer to you of my interest in the balance of the Jointly Owned Shares (so that we each hold the entire beneficial interest in a whole number of Shares (as mentioned in Clause 17 of the Joint Ownership Agreement dated [             ] made between (1) ACS HR Solutions Share Plan Services (Guernsey) Limited, in its capacity as trustee of the Henderson Employee Trust 2009 (2) you (3) Henderson Group plc and (4) me)).

 

I accept and undertake to procure that, in accordance with that Agreement, completion of the transfer of such interest shall take place within 21 days after you receive this notice or, if at any time within such period of 21 days either of us is or would be restricted under the requirements of any law, regulation or code of practice (such as the Model Code) from doing so, within the period of 21 days beginning with the day on which all such restrictions are lifted.

 

	
Signed
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Date
    	
 
    	
 
    

 

20

 

APPENDIX 4

 

JOINT ELECTION UNDER S431 ITEPA 2003 FOR FULL OR PARTIAL DISAPPLICATION OF

 

CHAPTER 2 INCOME TAX (EARNINGS AND PENSIONS) ACT 2003

 

One Part Election

 

1.                                      Between

 

	
the Employee
    	
 
    	
[name of employee]
    
	
 
    	
 
    	
 
    
	
whose National Insurance Number is
    	
 
    	
[               ]
    
	
 
    	
 
    	
 
    
	
and
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
the Company (who is the Employee’s employer)
    	
 
    	
Henderson Administration Limited
    
	
 
    	
 
    	
 
    
	
of Company Registration Number
    	
 
    	
290577
    

 

2.                                      Purpose of Election

 

This joint election is made pursuant to section 431(1) or 431(2) Income Tax (Earnings and Pensions) Act 2003 (ITEPA) and applies where employment-related securities, which are restricted securities by reason of section 423 ITEPA, are acquired.

 

The effect of an election under section 431(1) is that, for the relevant Income Tax and NIC purposes, the employment-related securities and their market value will be treated as if they were not restricted securities and that sections 425 to 430 ITEPA do not apply. An election under section 431(2) will ignore one or more of the restrictions in computing the charge on acquisition. Additional Income Tax will be payable (with PAYE and NIC where the securities are Readily Convertible Assets).

 

Should the value of the securities fall following the acquisition, it is possible that Income Tax/NIC that would have arisen because of any future chargeable event (in the absence of an election) would have been less than the Income Tax/NIC due by reason of this election. Should this be the case, there is no Income Tax/NIC relief available under Part 7 of ITEPA 2003; nor is it available if the securities acquired are subsequently transferred, forfeited or revert to the original owner.

 

3.                                      Application

 

This joint election is made not later than 14 days after the date of acquisition of the securities by the employee and applies to:-

 

	
Number of   securities
    	
 
    	
[                  ]
    
	
 
    	
 
    	
 
    
	
Description of   securities
    	
 
    	
Joint beneficial   interest, as tenant-in-common (with the trustee of the Henderson Employee   Share Ownership Trust) in ordinary shares in Henderson Group plc†
    
	
 
    	
 
    	
 
    
	
Name of issuer   of securities
    	
 
    	
Henderson Group   plc
    
	
 
    	
 
    	
 
    
	
Acquired by the   Employee on and after
    	
 
    	
[       ]   200[       ] pursuant to, or in   consequence of, a Joint Ownership Agreement entered into under the Henderson   Executive Shared
    

 

† The interest in securities has been acquired pursuant to a Joint Ownership Agreement entered into pursuant to the Henderson Executive Shared Ownership Plan

 

21

 

Ownership Plan

 

4.                                      Extent of Application

 

This election disapplies S.431(1) ITEPA: All restrictions attaching to the securities

 

5.                                      Declaration

 

This election will become irrevocable upon the later of its signing or the acquisition (* and each subsequent acquisition) of employment-related securities to which this election applies.

 

(* delete as appropriate)

 

In signing this joint election, we agree to be bound by its terms as stated above.

 

	
 
    	
 
    	
       /    /        
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Date
    
	
 
    	
 
    	
 
    
	
Signature   (Employee)
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
       /    /        
    
	
 
    	
 
    	
 
    
	
Signature   (for and on behalf of the Company)
    	
 
    	
Date
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Position in   company
    	
 
    	
 
    

 

Note:                  Where the election is in respect of multiple acquisitions, prior to the date of any subsequent acquisition of a security it may be revoked by agreement between the employee and employer in respect of that and any later acquisition.

 

22

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