Fiskars is launching a new ownership plan for the company’s management and planning an employee share savings plan
Fiskars Corporation
Stock exchange release
February 7, 2023 at 08:57 EET
Fiskars is launching a new ownership plan for the company’s management and planning an employee share savings plan
The Board of Directors of Fiskars Corporation has decided to launch an Ownership Plan 2023 directed to the company’s President and CEO, the Fiskars Group Leadership Team and certain key employees determined by the Board.
The Board is also planning to launch an employee share savings plan for the whole personnel during 2023.
Fiskars Ownership Plan 2023 for the company’s management
The Board of Directors of Fiskars Corporation (Board) resolved to launch Fiskars Ownership Plan 2023 (Plan) directed to the company’s President and CEO, Group Leadership Team and certain key employees determined by the Board. In the Plan, the target group is given an opportunity to receive free matching shares for their personal investment in Fiskars shares. The rewards based on the Plan will be paid after the end of the three-year matching period in 2026.
The Plan is established to encourage the target group to invest in Fiskars shares. The aim is to align the objectives of the shareholders and the management for increasing the value of the company in the long-term, to commit the target group to the company and to offer a competitive incentive program.
The prerequisite for receiving the matching shares is that the participant acquires shares within the limits set by the Board. If the participant’s share acquisition prerequisite has been fulfilled and the employment or service relationship with a group company has not terminated by the payment date, the participant will receive reward shares gratuitously according to the matching ratio decided by the Board. The Board has decided to offer the Plan to approximately 16 persons, and the maximum amount of gross reward to be paid on the basis of the Plan will correspond to approximately 380,000 Fiskars shares, including the cash proportion intended for covering taxes arising from the reward.
For reference purposes only (noting that the market value of the shares will constantly change), calculated based on the volume weighted average price of Fiskars share on February 6, 2023, the estimated total value of the Plan is approximately EUR 6.6 million.
Matching shares will be paid in new shares or treasury shares held by the company, as decided later by the Board.
Directed Share Issue against Payment for Target Group of Ownership Plan 2023
A maximum total of 190,000 treasury shares held by the company will, in deviation from the shareholders’ pre-emptive right, be offered in the share issue for subscription to the target group of the Fiskars Ownership Plan 2023. The company has a weighty financial reason for the deviation from the shareholders’ pre-emptive right, since the purpose of the share issue is to encourage the target group to acquire and own the company’s shares as a part of the Plan.
The share subscription period of the shares will be 9 February 2023 – 3 March 2023. The share subscription price for the shares will be EUR 16.56 per share, equal to the trade volume weighted average price of Fiskars share on Nasdaq Helsinki Ltd during the period of 1 January 2023 – 31 January 2023. The shares must be paid upon subscription. The share subscription price will be credited to the company’s reserve for invested unrestricted equity.
The decision on the directed share issue against payment is based on the authorization by the Annual General Meeting of Shareholders held on 16 March 2022.
Employee Share Savings Plan
The Board of Directors of Fiskars Corporation is planning to launch an employee share savings plan. In the plan, the employees of Fiskars Group will be given an opportunity to invest a part of their salary in Fiskars shares. The participants will receive free matching shares for the shares purchased with their savings under certain conditions.
By encouraging the employees to purchase and own Fiskars shares the company is pursuing to strengthen the connection of interests between the employees and shareholders, and to increase the employees’ commitment to the company. The Board considers that the plan will have a positive effect on the development of Fiskars Group in the future and that the plan is in line with the interests of both the employees and shareholders.
The intention is to offer the plan to employees of Fiskars Group in all countries where there are no legal, administrative or tax-related obstacles that would prevent running the program. The Board’s intention is that the employee share savings plan will be launched during this year. The Board’s decision to launch the plan will be announced separately.
“I’m convinced that having our management and employees as shareholders supports the company’s transformation journey by increasing engagement and enhancing a culture of ownership. With the employee share savings plan we are aiming for broad-based employee ownership in Fiskars by offering all employees the opportunity to acquire shares on favorable terms and to finance their share purchases easily.
The aim of the ownership plan for the management, which complements the employee share savings plan, is for the management to be notable and long-term shareholders in Fiskars”, says Paul Ehrnrooth, Chair of the Board, Fiskars Corporation.
FISKARS CORPORATION
The Board of Directors
Media and investor contacts:
Essi Lipponen, Director, Investor Relations, tel. +358 40 829 1192
Fiskars Group in brief
Fiskars Group (FSKRS, Nasdaq Helsinki) is the global home of design-driven brands for indoor and outdoor living. Our brands include Fiskars, Gerber, Iittala, Royal Copenhagen, Moomin by Arabia, Waterford, and Wedgwood. Our brands are present in more than 100 countries and we have approximately 350 own stores. We have close to 7,000 employees and our global net sales in 2022 were EUR 1.2 billion.
We are driven by our common purpose: Pioneering design to make the everyday extraordinary. Since 1649, we have designed products of timeless, purposeful, and functional beauty, while driving innovation and sustainable growth.
Read more: fiskarsgroup.com