On April 22, BYD announced that the company intends to repurchase all the shares for the employee stock ownership plan, and the proposed repurchase amount will not exceed 1.85 billion yuan, not less than 1.8 billion yuan, and the repurchase price will not exceed 300 yuan per share.
According to the announcement, in order to further activate the company's technological innovation capabilities, maintain the competitive advantage of the industry, and promote the company to achieve long-term sustainable development, the company intends to implement the repurchase of shares for the employee stock ownership plan, continue to improve the long-term incentive and constraint mechanism of mutual benefit and win-win results, effectively combine the interests of shareholders, the interests of the company and the core team and individual interests, and enhance the overall value of the company.
On the same day, BYD announced that it intends to promote the employee stock ownership plan, and the total number of people participating in the employee stock ownership plan will not exceed 12,000. The employee stock ownership plan will accept the shares of the company to be repurchased by the company through non-transaction transfer and other methods permitted by laws and regulations, and the transfer price is 0 yuan per share, and the participants do not need to contribute capital.
According to the announcement, the duration of the ESOP is 48 months, counting from the date on which the ESOP is approved by the general meeting of shareholders and the Company announces the transfer of the last subject stock to the name of the ESOP. The underlying stocks held by the ESOP are unlocked in three phases, and the unlocking time point is 12 months, 24 months and 36 months from the date of the company's announcement of the last transfer of the target stock to the name of the ESOP, and the proportion of the target stock unlocked in each period is 30%, 30% and 40% respectively. The specific unlocking ratio and quantity of each period are determined according to the results of the company's performance appraisal and personal performance appraisal.