For­mer Ry­man boss cashes up $9m in shares

The Southland Times - - BUSINESS - CHRIS HUTCHING

For­mer Ry­man Healthcare chief ex­ec­u­tive Si­mon Chal­lies has sold shares in the com­pany worth more than $9 mil­lion.

Chal­lies, 47, was di­ag­nosed with Parkin­son’s dis­ease 10 years ago and chose to re­tire last month as the ef­fects of the con­di­tion be­gan to be­come more ap­par­ent.

‘‘It’s time to spend more time with my fam­ily now. I have a son Sam who is 17, and my wife Tracey,’’ Chal­lies said yes­ter­day from Fiji, where he is on a break.

‘‘I thought I should sell some shares now be­cause I don’t know about the progress of the dis­ease.’’

He over­saw one of Ry­man’s big­gest pe­ri­ods of growth as the com­pany em­barked on new ven­tures in Mel­bourne, where it is also build­ing re­tire­ment vil­lages.

The Chal­lies Fam­ily Trust sold 1 mil­lion shares at the cur­rent share price of $9.08 a share, while for­feit­ing 212,914 shares un­der the con­di­tions of Chal­lies’ em­ployee share scheme.

His trust re­tains an­other 699,360 shares worth about $6.3m. Chal­lies said he did not in­tend to sell more in the im­me­di­ate fu­ture.

Ry­man has 28 re­tire­ment vil­lages un­der its belt in New Zealand and more in the pipe­line.

Un­der Chal­lies’ watch Ry­man has raised em­ploy­ment stan­dards for its staff, and was re­cently in­volved in a gov­ern­ment ini­tia­tive to lift wages.

Although it has been at the fore- front of vil­lage devel­op­ment over three decades, Chal­lies and the com­pany’s new chief ex­ec­u­tive, Gor­don MacLeod, have both pre­dicted a fu­ture surge in re­tire­ment home liv­ing as more peo­ple reach re­tire­ment age.

Ry­man op­er­ates share­pur­chase schemes for man­age­ment and staff, and pro­vides finance for them to buy the shares.

In a re­cent state­ment to the New Zealand stock ex­change, the com­pany an­nounced it would of­fer in­ter­est-free loans to man­age­ment staff for the 2017 year of up to $13m, re­payable when the em­ployee leaves the com­pany or when the shares are sold.

The price is de­ter­mined by the share price at the time.

The com­pany has also al­lo­cated $1m for an em­ployee scheme, in which each staff mem­ber con­trib­utes a min­i­mum of $500 and up to a max­i­mum of $10,000 to­wards the pur­chase of Ry­man shares.

If a staff mem­ber con­trib­utes $1000 to pur­chase shares, then the com­pany will lend a fur­ther $1000 up to a max­i­mum of $10,000.

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