Serco chairman sells options

Kevin Beeston, non-executive chairman of outsourcing specialist Serco, has netted more than £3m after offloading 867,481 shares at an average price of 348.2p each.

The sale comprises 644,603 options awarded under the company's 1998 Executive Option Plan with an average exercise price of 211p each, and 222,878 shares from awards under the group's 1996 Long Term Incentive Scheme.

Following these transactions, Beeston still owns 100,000 shares in Serco plus interests through the company's incentive schemes in a further 894,912 shares.

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Meanwhile, chief executive Christopher Hyman also exercised options, selling 40,812 shares at 358p each to net £146,107. The options were due to expire on 31 March, with an exercise price of 245p per share.

Last month, Serco saw profits for 2008 match expectations, leaving it upbeat about prospects for 2009.

Profit before tax surged 18.8% to £136.1m, and by 17.9% to £145.3m on an adjusted basis, as revenue rose 11.1% to £3.12bn. The total dividend increased 17.6% to 5p. In 2009, it expects to deliver double-digit revenue growth and a 30bps increase in its adjusted pre-tax profit margin, excluding SI International.

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