The Board of Directors of Loihde Plc has resolved on a new vesting period for the management’s incentive scheme and a directed share issue as part of the CEO’s share-based incentive scheme

The Board of Directors of Loihde Plc has on 25 November 2021 decided to continue the share-based long-term incentive scheme (LTI) for the Group’s senior management and selected key employees with a new vesting period for 2022‒2024. Loihde’s Board of Directors decided to implement the long-term incentive scheme in March 2021.

During the vesting period 2022‒2024, the incentive scheme has no more than 25 participants.  The criteria for the performance-based bonuses under the incentive scheme are revenue and EBITDA goals for the vesting period set by the Board of Directors. The maximum number of shares to possibly be paid is 58,800 shares in Loihde Plc. This number of shares represents the gross earning, from which a cash component covering taxes and other possible tax-like charges is deducted and the remaining net amount is paid as shares in Loihde Plc to persons covered by the incentive scheme. Possible bonuses for the vesting period 2022‒2024 will be paid in spring 2025. A prerequisite of the bonus under the incentive scheme is that the key employee’s employment has not been terminated or ended by the employee in question or by the company before the end of the vesting period.

The purpose of the share-based long-term incentive scheme is to align the goals of shareholders and key employees in order to increase Loihde’s value in the long run, commit key employees to the company and offer them a competitive bonus scheme that is based on earning shares.

In addition, Loihde’s Board of Directors has resolved on a directed share issue without payment in order to implement a reward payment that is part of the CEO’s share-based incentive scheme. In the share issue, a total of 3,000 new shares in the company will be issued to CEO Samu Konttinen as part of the share-based incentive scheme agreed in his CEO contract. The key terms and conditions of the share-based incentive scheme are available on Loihde’s website https://www.loihde.com/en/for-shareholders-2/corporate-governance/remuneration/.

The share issue is based on the authorisation granted to the Board of Directors by the company’s Annual General Meeting held on 25 June 2020. From the point of view of the company and considering the benefits of the shareholders, there is financial reason of particular importance for deviating from the shareholders’ subscription rights, since the issue of shares is based on committing key employees. As a result of the share issue, the total number of shares in Loihde Plc increases to 6,010,041 shares.

The new shares are intended to be registered with the Trade Register on or about 13 December 2021 and trading in the new shares on Nasdaq First North Growth Market Finland, maintained by Nasdaq Helsinki Ltd, together with the old shares will commence on or about 14 December 2021.

Loihde Plc
Board of Directors

Further information

Director of Communications Tiina Nieminen, tel. +358 44 411 3480, tiina.nieminen@loihde.com

Certified Adviser Alexander Corporate Finance Oy, tel. +358 50 520 4098

Loihde is an expert organisation specialising in digital development and security solutions. We help our customers create growth and competitiveness through digitalisation, while ensuring the security of people and information and the continuity of business. Loihde consists of two business areas: security solutions with the brand Loihde Trust, and digital development with the brands Loihde Advisory, Loihde Analytics and Loihde Factor. The Group has approximately 729 employees and its revenue in 2020 amounted to EUR 106.8 million.