Amigo - comment

Amigo CEO Gary Jennison has asked Amigo to make changes in the award of shares to him made in 2020 under an incentive plan. Jennison will agree to give up 9.5m shares to demonstrate that directors are sharing the pain with other stakeholders. This was a stumbling block for the court in the previous scheme of arrangement, but it will also not have sat well with the FCA during their ongoing meetings about Amigo 2.0. Making the offer will be driven by the recent meetings with the FCA and hints strongly that progress is being made around what the FCA will demand to not object to the Scheme of Arrangement and the creation of Amigo 2.0. Jennison has already said that if Amigo is not permitted to return to lending, a completely new company will be launched. Allowing Amigo 2.0 to proceed achieves the same result whilst improving the recovery for client complaints.