THE BOARD OF DIRECTORS OF MUSTI GROUP PLC DECIDED ON INCENTIVE PLANS FOR THE GROUP’S KEY EMPLOYEES
MUSTI GROUP PLC STOCK EXCHANGE RELEASE 7 MAY 2020 AT 3.00 p.m.
The Board of Directors of Musti Group Plc has decided to establish two new share-based incentive plans for the Group key employees. The aim is to align the objectives of the shareholders and key employees for increasing the value of the Company in the long-term, to commit the key employees to the Company and to offer them competitive incentive schemes that are based on earning and accumulating shares.
Performance Share Plan 2020–2024
The Performance Share Plan 2020–2024 consists of three consecutive performance periods, covering the financial years of 2020–2022, 2021–2023 and 2022–2024. The Board of Directors decides on the plan’s performance criteria and targets to be set for each criterion at the beginning of a performance period.
The potential reward based on the plan will be paid party in the Company’s shares and partly in cash after the end of each performance period. The cash proportion is intended to cover taxes and tax-related expenses arising from the reward to a participant. No reward is paid, if the participant’s employment or service terminates for reasons related to the participant before the reward payment.
The Company’s Management Team Member is obliged to hold at least 50 per cent of the net number of shares paid to the member on the basis of the plan, until the value of his or her total shareholding in the Company equals to 50 per cent (100 per cent for the CEO) of his or her annual base salary. Such number of Shares must be held as long as the membership in the Management Team continues.
During the performance period FY2020–FY2022, the reward is based on the Group’s Adjusted EBITA and Total Shareholder Return (TSR).
The rewards to be paid based on the performance period FY2020–FY2022 correspond to the value of an approximate maximum total of 250,000 Musti Group Plc shares, including also the proportion to be paid in cash. During the performance period FY2020–FY2022, approximately 10 persons, including the Company’s Management Team members, are included in the target group of the plan.
Restricted Share Plan 2020–2022
The reward from the Restricted Share Plan 2020–2022 is based on a valid employment or service and the continuity of the employment or service during a vesting period. The reward is paid partly in the Company’s shares and partly in cash after the end of a 12–36-month vesting period. The Restricted Share Plan is intended for selected key employees only, including the Management Team members. The rewards to be allocated based on the Restricted Share Plan during the years 2020–2022 correspond the value of a maximum total of 30,000 Musti Group Plc shares, including also the proportion to be paid in cash.
MUSTI GROUP PLC
BOARD OF DIRECTORS
David Rönnberg, CEO, tel. +46 70 896 6552
Musti Group in brief
Musti makes the life of pets and their owners easier, safer and more fun. We are the leading Nordic pet care company and we operate an omnichannel business model to cater for the needs of pets and their owners across Finland, Sweden and Norway. We offer a wide, curated assortment of pet products. We also provide pet care services such as grooming, training and veterinary services in selected locations.
Musti Group’s net sales were EUR 247 million in the financial year 2019. At the end of the financial year 2019, the company had 1,100 employees, over one million loyal customers and 277 stores.