Teleste share-based long-term incentive programs 2024
Stock Exchange Release
February 9, 2024, at 9:00 a.m. EET
TELESTE SHARE-BASED LONG-TERM INCENTIVE PROGRAMS 2024
The Board of Directors of Teleste Corporation established a share-based incentive program in 2022 including three share-based incentive plans (LTI 2022 Program) for the key employees of Teleste. The key terms of the LTI Program were published by a stock exchange release on 10 February 2022.
The Board of Directors has approved approximately 38 key employees as eligible for participating in the LTI Programs matching share plan and performance share plan in 2024.
Matching Share Plan
The gross rewards to be paid on the basis of the matching period 2024–2026 correspond to the value of an approximate maximum total of 42 525 shares of Teleste Corporation. The current aggregate maximum value of the matching period 2024—2026, estimated based on the average share price of the last trading day preceding the date hereof and assuming that the eligible participants fulfil the investment requirement in full, is approximately 115,000 euros.
Performance Share Plan
During the performance period 2024–2026, the rewards are based on the Group’s cumulative adjusted EBIT for the financial years 2024–2026 and Total Shareholder Value (TSR) of the Teleste share for the financial years 2024–2026.
The gross rewards to be paid on the basis of the performance period 2024–2026 correspond to the value of an approximate maximum total of 510,300 shares of Teleste. In order to be eligible to participate in the performance period, a person must participate in the matching period 2024—2026 of the Matching Share Plan.
The current aggregate maximum value of the performance period 2024—2026, estimated based on the average share price of the last trading day preceding the date hereof and assuming that the eligible participants fulfil the investment requirement for the matching period 2024—2026 of the Matching Share Plan in full, is approximately 1,378,000 euros.
Restricted Share Plan
The Board of Directors has decided to increase the maximum amount of reward shares under the restricted share plan published on 10 February 2022 to correspond to the value of a maximum of 100 000 Teleste Plc shares. The current aggregated maximum value of the restricted share plan 2022—2024, estimated based on the average share price of the last trading day preceding the date hereof is approximately 270,000 euros.
The potential rewards from the matching share plan and performance share plan will be paid in spring 2027 partly in Teleste Corporation shares and partly in cash. The rewards to be paid on the basis of the plans will be capped if the limits set by the Board of Directors for the payable reward from the performance period and the matching period 2024—2026 are reached.
The Board of Directors anticipates that no new shares will be issued in connection with the LTI Program and, therefore, the LTI Program will have no dilutive effect on the number of the Teleste’s registered shares.
Tuomas Vanne, SVP HR, Tel. +358 2 2605 611
Nasdaq Helsinki Ltd
Teleste's technologies and products are used to build a networked society. Our solutions bring high-speed broadband and television services to homes, secure your safety in public places and guide you in the use of public transport. With solid industry experience and a drive to innovate, we are a leading international company in broadband, security and information technologies and related services. We work in close cooperation with our customers, both virtually and through our worldwide sales network. In 2023, Teleste's net sales reached EUR 151.3 million and on average it had approximately 800 employees. Teleste is listed on Nasdaq Helsinki. For more information, please visit our website www.teleste.com.