DJI Holdings sacks CFO after share disposal
Rodney Davis did not notify company when selling shares and has since been replaced by Steven Prowse
Chinese lottery operator DJI Holdings has terminated the contract of its CFO Rodney Davis after the director disposed of shares worth approximately £120,000 without prior authorisation from the company.
The disposals, which occurred between 30 September and 20 October, infringed DJI’s share dealing code for directors and also violated AIM rules because Davis did not notify the company immediately after each trade.
“The company has today issued notice of summary termination of the contract through which Mr Davis was engaged as chief financial officer,” DJI said in a statement.
“Under the terms of the contract, termination also requires Mr Davis to resign as a director of all DJI group companies with immediate effect. The company will take whatever further steps may be appropriate,” it added.
The firm also said that all directors were aware of their share dealing responsibilities and that it adopted detailed policies to ensure compliance before floating on AIM last July.
Prior to the termination, Davis had been due to leave DJI at the end of the month with his planned replacement, Steven Prowse, now assuming the position with immediate effect.
Last week DJI said it was seeking a secondary listing on the NASDAQ exchange as a means of attracting a stronger base of institutional shareholders.
While a crackdown on China’s online lottery offer saw the firm post a 38% decline in net revenues for H1 in September, CEO Darren Mercer said Beijing was making “the first steps towards regulatory change”, which could see it lift its online ban next year.