Rovio Entertainment Corp.: Rovio Entertainment Corporation launches plan period 2023–2025 of the employee share savings plan and decided on continuing the long-term incentive plans
Rovio Entertainment Corporation Stock Exchange Release February 9, 2023 10:00 a.m. EET
Rovio Entertainment Corporation launches plan period 2023–2025 of the employee share savings plan and decided on continuing the long-term incentive plans
Employee Share Savings Plan
The Board of Directors of Rovio Entertainment Corporation decided to launch a new plan period 2023–2025 of the employee share savings plan (ESS plan), established in 2020. The overall details of the new plan period are similar to the previous plan period. Approximately 200 employees have become Rovio shareholders through the ESS plan.
The new plan period is offered to approximately 570 Rovio employees, including employees in Finland, Sweden, Denmark and Canada. Participation in the ESS plan is voluntary. The savings period of plan period 2023–2025 commences on April 1,2023 and ends on March 31, 2024. Participants may save a minimum of 2% and maximum of 8% of their salaries in the plan. The savings will be used for acquiring Rovio shares quarterly after the publication dates of the respective interim reports. Dividends paid for the shares will be reinvested in additional shares to be purchased from the market on the next potential acquisition date. As a reward for the commitment, Rovio grants the participating employees one free matching share (gross) for every two savings shares acquired with their savings, including the proportion to be paid in cash to cover applicable taxes and tax-related costs. The prerequisites for receiving the matching shares are continued employment and holding of savings shares until the end of the holding period ending on August 31, 2025. The matching shares are paid to the participating employees after the holding period.
The savings shares and matching shares in the plan period will be acquired by purchasing shares from the market.
Performance Share Plan 2022–2026 / Performance Period 2023–2025
The Board of Directors of Rovio Entertainment Corporation established a Performance Share Plan in 2022 for the key employees of Rovio Entertainment Corporation. The key terms of the Performance Share Plan 2022–2026 were published by stock exchange release on February 11, 2022.
The performance criteria for the performance period 2023–2025 are Group’s EBITDA (EUR) for the financial year 2025 (weight 50%) and Group’s Net Revenue (EUR) for the financial year 2025 (weight 50%)
The rewards to be paid on the basis of the performance period 2023–2025 correspond to the value of an approximate maximum total of 15,000,000 euros. The maximum number of Rovio Entertainment Corporation shares to be earned in the period will be obtained by dividing the maximum value of rewards by the trade volume-weighted average price of the Rovio share during January 26, 2023 –February 23, 2023. The rewards to be allocated in the performance period include also the proportion to be paid in cash.
The potential rewards will be paid partly in shares and partly in cash in spring 2026. The cash proportion is intended to cover taxes and tax-related costs arising from the rewards. As a rule, no reward will be paid if a participant’s employment or service ends before the reward payment.
A member of the Leadership Team must hold 50 per cent of the net shares received within the Performance Share Plan until the member’s total shareholding in the company corresponds to the value of 50 per cent of the member’s annual gross salary as long as the membership in the Leadership Team continues.
Restricted Share Plan 2017
Rovio’s Restricted Share Unit (RSU) Plan will continue as published on May 17, 2018. A total of 1,530,000 RSUs have been allocated to key employees since 2017. The maximum value of RSUs to be allocated in the RSU Plan during the following 12 months is 714,000 euros. The maximum number of RSUs will be obtained by dividing the maximum value of RSUs by the trade volume-weighted average price of the Rovio share during January 26, 2023–February 23, 2023. The rewards to be allocated on the basis of the RSU Plan include also the proportion to be paid in cash.
Rovio Entertainment Corporation
The Board of Directors
For more information, please contact:
Rene Lindell, CFO
[email protected]
+358 40 730 3442 (Investor Relations)
Distribution:
Nasdaq Helsinki Ltd
Main news media
About Rovio:
Rovio Entertainment Corporation is a global mobile-first games company that creates, develops and publishes mobile games, which have been downloaded over 5 billion times. Rovio is best known for the global Angry Birds brand, which started as a popular mobile game in 2009, and has since evolved from games to various entertainment, animations and consumer products in brand licensing. Rovio has produced The Angry Birds Movie (2016), and its sequel, The Angry Birds Movie 2 was released in 2019. The company offers multiple mobile games and has eight game studios – one in Espoo (Finland), one in Stockholm (Sweden), one in Copenhagen (Denmark), one in Barcelona (Spain), two in Montreal and one in Toronto (Canada). The studios also include a subsidiary in Izmir (Turkey) called Ruby Games, which was acquired in 2021. Most of the employees are based in Finland where Rovio is headquartered. The company’s shares are listed on the main list of NASDAQ Helsinki stock exchange with the trading code ROVIO. (www.rovio.com)
