Dividends and issue of warrants
The Board of Directors of Cinnober Financial Technology AB (publ) decided on March 30, 2016 to propose to the upcoming Annual General Meeting that a dividend of SEK 2.00 per share be paid. The Board proposes that the record date be Friday, May 13, 2016. If the AGM on May 11 votes in accordance with the proposal, the dividend will be paid on Wednesday, May 18, 2016 through Euroclear Sweden AB.
The Board further decided that, pending AGM approval, not more than 300,000 warrants be issued to the subsidiary Cinnober Financial Technology North AB for transfer to senior executives and key Group employees.
The right to subscribe to the warrants shall, deviating from the priority rights of existing shareholders, be conveyed free fo charge to the wholly owned subsidiary Cinnober Financial Technology North AB for transfer to senior executives and key employees in Cinnober Financial Technology AB (publ) (”the Company”) and Cinnober Financial Technology North AB. Each warrant grants the right to subscribe for a new share in the Company not before August 31, 2018 and not later than November 30, 2018. The new shares shall convey entitlement to dividends on the first day of record immediately following the share registration date at Euroclear Sweden AB.
The reasons for the proposal itself and for the deviation from the priority rights of existing shareholders is that the Company considers it both necessary to retaining key personnel, as well as beneficial for long-term development to afford personnel the opportunity of ownership through an incentive program.
Cinnober Financial Technology North AB shall, in accordance with the Board’s directives, accept payment corresponding to the warrants’ market value on the day of record using the Black & Scholes model, transfer warrants to employees in executive positions and key personnel. On subscription supported by the warrants, the redemption price per share is SEK 140.
Transfer to employees is conditional on each recipient entering an ancilliary agreement with the Company, according to which warrant-holders undertake, among other things, to offer the Company, or whomever the Company determines, the option of acquiring the warrants at market value or cost, whichever is lower, if the warrant-holders’ employment within the Group ceases.
On full exercise of the subscription warrants on the terms applicable at the time of the decision, share capital may increase by at most SEK 300,000, corresponding to 4.4% of the total number of shares.
The decision is conditional upon approval by a General Meeting of the Company and it is proposed that it be approved by the upcoming AGM. To be valid, the decision requires approval by at least nine-tenths of both the votes cast and the shares represented at the Meeting.
For further information or discussion, please contact:
Veronica Augustsson
CEO
Cinnober Financial Technology
Tel. +46 (0)8 503 047 00
veronica.augustsson@cinnober.com
About Cinnober Financial Technology
Cinnober provides solutions and services to leading trading and clearing venues, including exchanges, clearinghouses, banks and brokers. Cinnober’s solutions are largely based on the TRADExpress™ Platform, incorporating everything needed for mission-critical solutions in terms of performance, robustness and flexibility. Cinnober’s customers include the Australian Securities Exchange, BM&FBOVESPA, Dubai Gold & Commodities Exchange, Euronext, Japan Exchange Group, Johannesburg Stock Exchange, London Metal Exchange, LME Clear and Stock Exchange of Thailand. Cinnober is listed on First North in Stockholm, with Avanza as Certified Advisor. For additional information, please visit www.cinnober.com
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