Luke Girgis has lost his 5 million options in The Brag Media as part of his exit from the business he co-founded.
Yesterday, The Brag Media’s ASX-listed owner, Vinyl Group, confirmed Girgis, the publisher and managing director, would be exiting the business after a “thorough review”, just six months after he sold it. That review and its resulting leadership changes would result in savings of $750,000 over the next year, it said.
In a further notice published to the ASX late yesterday afternoon, it became clear Girgis’ exit would also result in him losing the 5 million options he received as part of the December 2023 sale of the business to Vinyl Group.
The first tranche was due to vest a year after the sale, upon achieving revenue and EBIT targets. The second tranche was to vest on the second anniversary of the sale’s completion.
Those options are now void because “the conditions have not been, or have become incapable of being, satisfied” now he is no longer employed.
Girgis and his co-founder sold The Brag Media in a $10 million deal at the end of last year: $8 million cash, plus a further $2 million in cash or stock based on financial performance. Girgis moved from CEO to publisher and managing director as a full time employee.
Vinyl Group rebranded from Jaxsta just weeks before it acquired The Brag, funded by an $11 million placement and debt facility from Vinyl Group investor Richard White.
“Right from the earliest discussions we had, it was clear that the board, Josh and the team shared our vision for the future of the business, and I’m thrilled that they’ve made this commitment with us,” Girgis said at the time of the sale.
As Girgis exits, Jessica Hunter has been promoted to head of The Brag Media, and Lars Brandle promoted to head of content. Poppy Reid remains editor-in-chief.
The Brag Media publishes thebrag.com, The Music Network, and Tone Deaf, and has the license for Rolling Stone and Variety across AUNZ.