The Board of Directors of Oyj decided on a new share-based incentive plan for management

·3-min read Oyj Oyj

Verkkokauppa.Com Oyj   STOCK EXCHANGE RELEASE  11 May 2023 at 8:30 EEST

The Board of Directors of Oyj decided on a new share-based incentive plan for management

The Board of Directors of Oyj has resolved to establish a new share-based incentive plan for the CEO and the members of the Management Team of the company. The aim of the new plan is to align the objectives of the shareholders and the management in order to increase the value of the company in the long-term, to encourage the management to personally invest in the company’s shares, to retain the target group at the company, and to offer them a competitive incentive plan in which the participants may earn shares as a reward for performance and their personal investment.

The new Performance Matching Share Plan 2023–2027 includes three performance periods, covering financial years 2023–2025, 2024–2026 and 2025–2027. The Board will decide annually on the commencement and details of a performance period. The performance criterion in the first performance period 2023–2025 is the Total Shareholder Return of the company’s share (TSR). The achievement of the required TSR levels will determine the proportion out of the maximum reward that will be paid to a participant. The prerequisite for participation in the plan and receiving the reward is that the person allocates freely transferable Oyj shares held by him or her to the plan or acquires the company’s shares in a number determined by the Board of Directors.

The rewards from the plan will be paid partly in the company’s shares and partly in cash. The rewards will be paid by the end of May in the year following the end of the performance period. The cash proportion is intended for covering taxes and tax-related costs arising from the reward to the participant. In general, no reward will be paid if a participant’s employment or service in the group ends before the reward payment. The CEO is obligated to hold 50 per cent of the reward shares until the CEO’s total personal shareholding in the company corresponds to the CEO’s annual salary.

The target group of the plan consists of nine persons (the CEO and all members of the Management Team). The gross rewards from the first performance period 2023–2025 correspond to the value of an approximate maximum total of 229,000 Oyj shares, including the proportion to be paid in cash. The final number of shares depends on the number of shares acquired by participants and the achievement of the TSR levels. The current aggregate maximum value of the performance period 2023–2025, estimated based on the average share price of the last trading day preceding the date hereof and assuming that the eligible participants fulfil the investment requirement in full, is approximately 573 thousand euros. Oyj
Board of Directors

For more information, please contact:

Marja Mäkinen, Head of Investor Relations and Corporate Communications Oyj
Tel. +358 40 671 2999 empowers its customers to follow their passion by providing a wide product assortment of around 90,000 products. Oyj serves its retail and corporate customers through its webstore, megastores, kiosk and network of collection points as well as fast deliveries and various services. As Finland’s most popular and most visited domestic online retailer, its deliveries cover around 75 percent of the Finnish population within the next day. The Company has four megastores: in Oulu, Pirkkala, Raisio, and Helsinki, where its headquarters is also located. employs more than 700 people and its shares are listed on the Nasdaq Helsinki stock exchange with the ticker VERK.