Tencent announced on Wednesday that its board of directors has decided to grant a total of 4,410,829 award shares to no less than 25,700 staff. The award recipients will include employees, executives, officers, directors, experts, consultants and agents.
The announcement shows that the purpose of issuing new shares under the share award scheme is to recognize the contributions made by the awardees, and to attract and retain the talent needed for Tencent‘s sustainable operation and development.
As of press time, Tencent‘s share price is HK$471.4 ($60.49) per share, which means that the total value of the award shares is about HK$2.079 billion ($267 million). According to the calculation of 25,700 rewarders, each person can receive over HK$80,000.
According to Tencent‘s third quarterly report, as of September 30, 2021, the number of its employees reached 107,348. Therefore, nearly 24% of its employees will receive stock awards at this time. According to the report, the average monthly salary of over 100,000 Tencent employees is about 80,600 yuan.
Tencent has announced share incentive schemes several times. As early as November 16, Tencent put up announcement that it would grant a total of about 8,399,200 award shares to no less than 16,800 staff members under the share award scheme. In July this year, Tencent Holdings announced at the HKEx that it intends to grant a total of 2,403,203 award shares to no less than 3,300 awardees based on the scheme. In February this year, Tencent Holdings awarded 100 shares to each employee with “special contributions” in their year-end bonus.