Iconix Brand Group said Friday that it provided an equity inducement award to incoming chief executive officer John N. Haugh.

The brand management firm said Tuesday that Haugh becomes ceo on April 1. Haugh joined the company Tuesday as president. He was also appointed to the board.

The inducement involved restricted stock units in the amount of 246,325 shares of the company’s common stock. While the award was made outside of the firm’s current equity plan, it will be subject to the terms and conditions generally consistent with those in the company’s amended and restated 2009 equity incentive plan, as amended, the company said. The shares vest in three equal annual installments beginning on Feb. 22, 2017. Vesting is subject to certain conditions.

Iconix said it was required to make the disclosure by the Nasdaq Stock Market Rules.

Shares of Iconix closed unchanged at $8.29 Friday in Nasdaq trading. The intraday trading range Friday was a high of $8.50 and a low of $8.16.

Iconix earlier this month said it has completed the “comment letter process” with the Securities and Exchange Commission after concluding that it would “restate historical financial statements” related to the accounting treatment applied to some joint venture transactions.

C.L. King analyst Steven L. Marotta said Wednesday, “Accelerating organic growth and exploring opportunities for new acquisitions were called out as priorities at Iconix. Our view? Refinancing the impending debt maturation combined and cleanly exiting the current SEC investigation appear to be more looming issues he needs to successfully address.”

The company has said that the refinancing of the $300 million in convertible notes due this June is on track. As for the investigation — the company in December said it received a formal order of investigation from the SEC — Iconix earlier this month, when it disclosed the restatements, said the company “intends to fully cooperate with the SEC” regarding its investigation.

load comments
blog comments powered by Disqus