Press release from Bonava’s extra general meeting

At an extra general meeting of Bonava AB (publ) today on 26 September 2016, the general meeting resolved to approve the board of directors' proposal on a long term performance based incentive plan (LTIP 2016) for Bonava. The Plan comprise of approximately 25 employees consisting of members of the senior management and other key personnel within the Bonava group.

The incentive plan in brief:

•  To participate in LTIP 2016, an own investment in Bonava shares is required. The participants will be offered to invest a maximum of two months’ salaries, before taxes, in Bonava’s shares of series B. The offer to invest a maximum of two months’ salaries is an extended investment opportunity for the participants, which the board of directors deems appropriate considering that there are no former incentive plans in Bonava.
•  Following the defined vesting period of three years, shares of series B in Bonava will be allocated, free of charge, to the participants provided that certain conditions are fulfilled, which, in addition to continued employment and continued shareholding, relates to Bonava’s operating profit (EBIT) and average return on capital employed (ROCE). Allocation of shares of series B shall, however, be reduced if the total shareholder return (TSR) on Bonava’s shares of series B should be negative over the plan’s term.
•  The maximum number of shares of series B in Bonava that can be allocated under LTIP 2016 in total is limited to 338,903.
•  Based on a constant share price during the plan’s term, a vesting period of three (3) years and some additional assumptions, the total cost of LTIP 2016 including social security costs is estimated to amount to maximum approximately SEK 40 million.

The general meeting also resolved to authorise the board of directors, for the period until the next annual general meeting, on one or several occasions, to resolve on execution of acquisition of shares of series B in Bonava. A maximum of 411,386 shares of series B may be acquired on Nasdaq Stockholm for the purpose of securing the company’s obligations under the LTIP 2016 and other incentive plans. The general meeting also resolved on transfer of not more than 338,903 shares of series B in Bonava to participants who under the terms for the LTIP 2016 are entitled to receive shares of series B and that transfer also may take place of a maximum of 72,483 shares on Nasdaq Stockholm to cover costs related to social security costs under LTIP 2016.

For more information, please contact

Ann-Sofi Danielsson, CFO and Head of Investors Relations
ann-sofi.danielsson@bonava.com 
ir@bonava.com
Tel: +46 706 740 720

Evin Khaffaf, Head of Communications
evin.khaffaf@bonava.com
Tel: +46 700 887 133

Bonava is a leading residential development company in Northern Europe. Born out of NCC, Bonava has been creating homes and neighbourhoods since the 1930’s. Today Bonava has 1,400 employees and operates in Sweden, Finland, Denmark, Norway, Germany, St. Petersburg, Estonia and Latvia with sales of SEK 13 billion. Bonava’s shares are listed on Nasdaq Stockholm.

For more information about us: bonava.com