THE $81 million (#73.6 million) Euristix sale to Fore Systems will make the four main shareholders multi-millionaires on paper. Fore is paying for Euristix not in cash but by issuing five million of its own shares to the Euristix shareholders.
Mr Jim Mountjoy, Euristix chief executive officer and Mr Bryan Alton, technical director, each own 18 per cent of the company and will receive Fore shares worth $14.6 million (#13.27 million) each.
Mr Leonard Donnelly, marketing director and Mr Pat Stuart, engineering director, each hold 10 per cent stakes in Euristix and receive Fore shares worth $8.1 million (#7.36 million) each.
Thirty per cent of Euristix is held by a number of investors under a Business Expansion Scheme (BES). There are thought to be around nine such investors, each holding a 23 per cent stake. They each stand to receive about $3.24 million. One other BES investor has a 5 per cent holding, which would amount to $4.05 million. Enterprise Ireland has an 8 per cent stake in Euristix and gets Fore shares valued at $6.48 million under the terms of the takeover. The remaining 6 per cent of the company falls into an option pool for employees. This is worth $4.86 million.
