Share-related incentive programs

Summary of outstanding programs issued to Sectra employees and external Board members April 30, 2022.

2018/2023 Convertible Debenture Program

Participants: External Board members
Term of the program: Nov 1, 2018–Jan 31, 2023
No. of series B shares in the event of full conversion: 5,130
Recalculated conversion price: SEK 75.80
Original conversion price (adjusted for share split 5:1): SEK 77,78
Conversion period: Jan 9–13, 2023
Maturity date: Jan 31, 2023
Dilution at full conversion, capital: 0.003%

 

In accordance with the applicable terms and conditions for issued convertible programs, the conversion prices have been recalculated in the event of a redemption process, reduction of share capital and share split. The most recent adjustment of the conversion prices were made in November, 2021. The figures stated above have been adjusted due to the share redemption programs implemented by Sectra and include changes related to the share split in September 2021 and the share redemption program in October–November 2021.

LTIP 2021

In accordance with the resolution by the Annual General Meeting 2021, Sectra has introduced two long-term performance-based incentive programs for employees in the Sectra Group in Sweden and the rest of the world (LTIP 2021 SROW) and in the US and Canada (LTIP 2021 NA). In total, 57% of the entitled employees chose to participate in the programs. Following the vesting period, participants will be allotted shares in the company free of charge provided they remain employed by the company and certain performance conditions have been met.

The maximum number of performance shares that can be allotted under LTIP 2021 is limited to 780,000 series B shares. Sectra has issued 1,000,000 shares in the company to cover both allocation to employees at full performance and the costs of the social security contributions that are expected to arise in connection with the allotment of the so-called Performance shares. Of these shares 780,000 are available for allotment to employees and 220,000 are intended to be sold over the stock exchange to cover social security contributions and payroll overhead. In total, this means a maximum dilution of approximately 0.5% after the proposed split of shares.

For further details refer about perfomrance conditions and the program, please refer to the Annual General Meeting 2021 documents.

LTIP 2021 SROW

Employees have allocated 238,097 savings shares (Sectra series B shares) to the program.

Participants: Employees in Sweden and the rest of the world, with the exception of USA and Canada
No. of Share Grants allotted: 238,097
Vesting period: Jan 1, 2022–31 Dec, 2026
Period for allotment of Performance shares: 60 days from the end of the qualification period

A Share Grant refers to a right to receive a Performance Share free of charge, provided that certain conditions are met.

LTIP 2021 NA

Participants: Employees in USA and Canada
No. of Stock units (PSU) allotted: 119,960
Vesting period: Jan 1, 2022–31 Dec, 2026
Period for allotment of Performance shares: 60 days from the end of the qualification period

 

A Performance Stock Unit (PSU) gives the right to receive a Performance Share in the company free of charge, provided that certain conditions are met.

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