The issuance of a corporate update on FTSE250 GVC Holdings’ governance has revealed that its shareholders have agreed to relocate the management control and tax residency of the firm to the London headquarters of the firm.
The decision follows a vote endorsed by this week’s ‘Extraordinary General Meeting’ (EGM) in Gibraltar, where 99 percent of GVC investors supported the motion.
GVC Holdings has maintained its Management Control functions in the Isle of Man since 2010, benefiting from a more appropriate tax regime for its business services.
However, GVC Governance detailed in its EGM document that an enlarged global enterprise needed flexibility in its management control functions, which had become constrained by Isle of Man requirements.
GVC Governance detailed in its January update that directorial restrictions had resulted in ‘administrative burdens’ associated with, among other things, requiring board meetings to be held outside the UK and limiting who the company can appoint as chairman to the board.
In addition, GVC noted that changing tax conditions for industry across regulated European markets no longer offered the Isle of Man as a significant tax benefit for its operations.
As of 2020, GVC Governance announced the appointment of Former Littlewoods Group Chief Executive and HomeServe Plc Chairman Barry Gibson to replace Lee Feldman as new corporate governance lead.