L’Oréal Launches Second Employee Share Ownership Plan
L’Oréal is rolling out a second Employee Share Ownership Plan in 57 countries. According to L’Oréal, the plan will give employees, in France and internationally,...
- Sep 3, 2020
L’Oréal is rolling out a second Employee Share Ownership Plan in 57 countries.
According to L’Oréal, the plan will give employees, in France and internationally, the possibility to be more closely linked to the group’s development.
“This year, after the success of the first plan in 2018, we want to once again involve our employees in the prosperity of our group. This second Employee Share Ownership Plan is a new opportunity to allow those who wish to do so to support the development of the company and participate in its strategic project. This new plan reaffirms our ambition to unite our employees even more closely with L'Oréal's future,” said Jean-Paul Agon, chairman and CEO of L’Oréal.
The share purchase price will be set on September 14, 2020. It will be equal to the average of the opening price of L’Oréal shares on the Euronext Paris exchange over the twenty trading days preceding the decision, after a 20% discount. The plan is limited to 500,000 shares.
The subscription period will run from September 17 to October 2, 2020, and settlement (payment-delivery) is planned for November 3, 2020.
Beneficiaries will have the possibility to purchase L’Oréal shares in a “classic” subscription formula, where the value of their investment will vary with changes in the L’Oréal share price. They will also benefit from an employer contribution, subject to the terms and conditions described in the plan documentation.
Shares purchased in registered form, as well as employee shareholding fund units, will be blocked for a five-year period, subject to early release exceptions defined by applicable regulations in France and the other countries in which the offer is made available.
The application for admission to trading on the Euronext Paris exchange of the shares issued will be filed as soon as possible after the capital increase. They will be listed under the same code as the existing shares and will be fungible with those shares from their admission to trading.
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