Seplat Petroleum Development Company plc has released the details of its 2016 share awards granted under the 2014 Long-Term Incentive Plan (LTIP) and the annual bonus for the year ended December 31, 2015 all relating to its directors/persons discharging managerial responsibility. Seplat also disclosed the details of outstanding share awards granted since Initial Public Offering (IPO).
In the release at the Nigerian Stock Exchange (NSE), Seplat said no consideration was paid for the grant of the awards and no consideration is due on the vesting of awards, noting that “these share awards are subject to final NSE approval”.
According to the Company, the share awards will normally vest on the third anniversary of the date of grant subject to the achievement of stretching performance targets set by reference to relative Total Shareholder Return against a comparator group of listed E&P companies and an underpin linked to reserves growth.
“Vested shares will be subject to an additional two year holding period in line with corporate governance best practice.
Under the remuneration policy approved by shareholders, 25percent of the annual bonus paid for a financial year is deferred into shares and released in three years subject to continued employment in line with corporate governance best practice. No consideration was paid for the grant of these awards and no consideration is due on the vesting of awards,” it further stated.
It further noted that under the terms of these Global Bonus Awards (under the 2014 Long-Term Incentive Plan) 50percent of the Global Offer Bonus awards vested on Admission and were subject to a holding period until the first anniversary of listing (being 9 April 2015), with the remaining 50perecnt vesting on the first anniversary of Admission subject to the achievement of stretching performance targets around relative Total Shareholder Return and reserves growth.
“These vested shares are subject to a one year holding period until the second anniversary of listing, being 9 April 2016. No consideration was paid for the grant of the awards and no consideration is due on the vesting of awards.”
“The 2014 performance related share awards will vest on 9th April 2017 and the 2015 performance related share awards on 21st April 2018 subject to the achievement of stretching performance targets linked to relative Total Shareholder Return and reserves growth.
“Vested shares will be subject to an additional two year staggered holding period thereafter in line with corporate governance best practice. Under the remuneration policy approved by shareholders, 25percent of the annual bonus paid for a financial year is deferred into shares and released in three years subject to continued employment in line with corporate governance best practice.
“No consideration was paid for the grant of these awards and no consideration is due on the vesting of awards In line with the disclosures made in the IPO prospectus, all non-executive directors who had served on the Board during the nine months prior to the date of the IPO were to be allotted shares in the Company at nominal value as part of their remuneration structure pre-flotation as set out below. There is no intention to allot further shares at nominal value to non-executive directors. Under the terms of the allotment there is a restriction on sale of these shares,” Seplat told the NSE.
Iheanyi Nwachukwu
