Oxford Cannabinoid Technologies Holdings PLC (LSE:OCTP)‘s executive chairman has agreed to step down as part of a resolution over an issue with an overdraft facility.
Neil Mahapatra will stand down on 11 February 2022 and take up a role as a non-executive director at a salary of GBP25,000 a year.
His existing option entitlements are unchanged but he will not be able to take part in the company’s bonus or pension schemes.
Oxford Cannabinoid considering ramifications of chairman’s overdraft facility
Julie Pomeroy, currently independent non-exec, will become non-executive chair going forward.
As part of the resolution, finance group Brown Shipley has indicated it will terminate its charge over the shares pledged as security for the facility.
John Lucas, chief executive, said: “My thanks to Brown Shipley, our advisers and my fellow directors for resolving these issues speedily and efficiently.
“The board is grateful to Neil for working with us to move towards a swift rectification of this unfortunate matter and we are pleased to continue to work with him as we further develop the business.
“The board is also very grateful to Julie for agreeing to assume the role of non-executive chair.”