Issuing a corporate update the governance of FTSE250 GVC Holdings has disclosed that its shareholders have approved relocating the firm’s management control and tax residency to the firm’s London headquarters.
The decision follows a vote sanctioned through ‘extraordinary general meeting’ (EGM) held in Gibraltar this week, in which the motion was approved by 99% of GVC investors.
Since 2010, GVC Holdings has maintained its management control functions in the Isle of Man benefitting from a more suitable tax regime for its business services.
However, in its EGM document, GVC governance detailed that an enlarged global enterprise required flexibility in its management control functions, which had become constraint by Isle of Man requirements.
In its January update, GVC governance detailed that directorial restrictions had led to ‘administrative burdens’ related to among other things requiring Board meetings be conducted outside of the UK and limiting who the Company is able to appoint to the Board as Chairman.
Furthermore, GVC noted that changing industry tax conditions across European regulated markets no longer supported the Isle of Man as a significant tax benefit for its operations.
Entering 2020, GVC governance confirmed the appointment of Former Littlewoods Group Chief Executive and HomeServe Plc Chairmain Barry Gibson as new corporate governance lead replacing Lee Feldman.