CORRECTION: Basware Executive Team members to make significant investments into Basware shares as company launches new long-term incentive structure
This is a correction of the announcement from 09:00 02.03.2017 EET. Reason for the correction: Matching Share Plan 2017-2019 included incorrect information regarding the amount of Basware Corporation shares in the plan, the correct information is as follows:
"The rewards to be paid in aggregate to the Basware Executive Team on the basis of the Matching Share Plan correspond to the value of a maximum total of 75,000 (previously 60,000) Basware Corporation shares (including also the proportion to be paid in cash).
The Plan as a whole entails an aggregate share ownership interest of approximately 112,500 shares (previously 90,000) for the Basware Executive Team members, via personal share acquisitions and the right to future share ownership through the Matching Share Plan."
Please find the updated release below:
Basware Corporation, stock exchange release, March 2, 2017 at 09:00
Basware Executive Team members to make significant investments into Basware shares as company launches new long-term incentive structure
The Board of Directors of Basware Corporation has resolved to establish a new long-term incentive plan structure for the Group key employees. The renewed structure entails three share based plans:
- a Matching Share Plan 2017-2019, where Basware Executive Team members personally invest in Basware shares and have their investments matched by Basware,
- a Performance Share Plan 2017-2019, which steers key employees toward realizing established strategic objectives and increasing shareholder value, and
- a Restricted Share Plan 2017, for selected key contributors in key markets.
The aim of the new plans is to further align the objectives of shareholders and key employees, to retain key employees at the company, and to offer them competitive reward plans based on acquiring, receiving and holding the company's shares.
The potential rewards from the incentive plans will be paid partly in Basware shares and partly in cash. The cash proportion is intended to cover taxes and tax-related costs arising from the reward to the key employee. As a rule, no reward will be paid if a key employee's employment or service ends before the reward payment.
The share plans entail a shareholding requirement for members of the Basware Executive Team and a shareholding recommendation for other participants, where a considerable number of received shares must be held for the long term.
The last earning period 2017 of the current share-based incentive plan 2015-2017 will be replaced by the new Performance Share Plan.
Matching Share Plan 2017-2019
The prerequisite for receiving reward on the basis of the Matching Share Plan is that a member of the Basware Executive Team acquires Basware shares. The Basware Executive Team Member will as a reward, receive matching shares for each share subject to the share ownership prerequisite after a matching period of three years. Receipt of matching shares is contingent on the continuation of employment or service upon reward payment.
The rewards to be paid in aggregate to the Basware Executive Team on the basis of the Matching Share Plan correspond to the value of a maximum total of 75,000 Basware Corporation shares (including also the proportion to be paid in cash).
The Plan as a whole entails an aggregate share ownership interest of approximately 112,500 shares for the Basware Executive Team members, via personal share acquisitions and the right to future share ownership through the Matching Share Plan.
Performance Share Plan 2017-2019
The Performance Share Plan includes three performance periods, calendar years 2017-2018, 2018-2019 and 2019-2020. The Board of Directors will resolve on the performance criteria and on the required performance levels for each criterion at the beginning of each performance period. The plan is directed to approximately 60 key employees, including the members of the Basware Executive Team.
The potential reward from the performance period 2017-2018 will be based on the company's Total Shareholder Return (TSR) and the Group's accumulative Cloud Revenue during 2017-2018. The rewards to be paid on the basis of the performance period 2017-2018 correspond to the value of a maximum total of 156,000 Basware Corporation shares (including also the proportion to be paid in cash).
Restricted Share Plan 2017
The Restricted Share Plan is directed to selected key contributors in Basware. The reward from the Restricted Share Plan will be paid after a vesting period of one to three years. The total rewards to be allocated on the basis of the plan will amount to a maximum of 20,000 Basware Corporation shares (including also the proportion to be paid in cash).
Board of Directors
For more information, please contact:
Hannu Vaajoensuu, Chairman of the Board, Basware Corporation
Tel. +358 40 501 8250, firstname.lastname@example.org
Basware (Nasdaq: BAS1V) is the global leader in providing networked purchase-to-pay solutions, e-invoicing and innovative financing services. Basware's commerce and financing network connects businesses in over 100 countries and territories around the globe. As the largest open business network in the world, Basware provides scale and reach for organizations of all sizes, enabling them to grow their business and unlock value across their operations by simplifying and streamlining financial processes. Small and large companies around the world achieve significant cost savings, more flexible payment terms, greater efficiencies and closer relationships with their suppliers. Find out more at www.basware.com/investors.
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