Beeb.com offers ‘phantom’ share options

by Louise Banbury, Brand Republic 09-Feb-01

The BBC’s commercial online business Beeb.com is offering senior staff “phantom” share options in the company, according to newspaper reports.

LONDON (Brand Republic) - The BBC’s commercial online business Beeb.com is offering senior staff “phantom” share options in the company, according to newspaper reports.

Beeb.com is a privately held company, but it is understood that the BBC is considering floating the web venture on the stock market, turning the “phantom” options into real options.

The move is designed to bring the company into line with other commercial dotcom businesses, which frequently offer staff share options as part of their remuneration package.

The Beeb.com options are being offered to a “handful” of senior staff. Employees who accept the offer will have to give up their traditional BBC benefits, including its pension scheme.

Last year, the BBC sold a 13.5% stake in Beeb.com to US venture capital firm TH Lee Global Internet Managers for £32.5m. The investor is expected to look to float the company within five years in order to recoup its investment, but this would have to be approved by the government and the BBC governors.

www.beeb.com