Perennial Real Estate Holdings Limited - Annual Report 2015 - page 182

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PERENNIAL REAL ESTATE HOLDINGS LIMITED Annual Report 2015
SHARE OPTIONS
St. James Share Option Scheme (the “Scheme”)
The Scheme which was approved by shareholders of the Company on 28 January 2003 and 22 October 2013, was cancelled
on 21 October 2014 following the adoption of Perennial Employee Share Option Scheme 2014. The Scheme had 360,000
outstanding options with expiry date on 25 October 2014. As at 31 December 2015, all the outstanding options under the
Scheme have lapsed.
Perennial Employee Share Option Scheme 2014 (“Perennial ESOS 2014”)
The Perennial ESOS 2014, of which the rules were set out in a circular to shareholders dated 18 September 2014,
was approved by shareholders of the Company at an EGM held on 10 October 2014.
Under the rules of the Perennial ESOS 2014, all directors (including non-executive and independent directors) and employees of
the Company and its subsidiaries are eligible to participate in the Perennial ESOS 2014. Controlling shareholders are also
eligible to participate in the Perennial ESOS 2014 subject to the approval of independent shareholders in the form of separate
resolutions for each participant.
Under the Perennial ESOS 2014, the option entitles eligible participants to subscribe for ordinary share in the Company at a
price equal to the volume-weighted average price of the Company’s shares on Singapore Exchange Securities Trading Limited
(“SGX-ST”) for the three consecutive trading days immediately preceding the Date of Grant of that Option (“Market Price”) or at
a discount to the Market Price (up to a maximum 20%).
The maximum number of shares (in respect of the options) that may be granted under the Perennial ESOS 2014, after taking
into account of (i) the total number of new shares allotted and issued and/or to be allotted and issued (exclude treasury shares)
pursuant to options granted under the Perennial ESOS 2014; and (ii) the total number of shares subject to any other share
option or share incentive schemes of the Company, shall not exceed 15% of the total number of issued shares, provided always
that all number of shares available to each controlling shareholder or each of their associates shall not exceed 10% of the
shares available under the Perennial ESOS 2014.
The Remuneration Committee (“RC”) is charged with the administration of the Perennial ESOS 2014 in accordance with the
rules of the Perennial ESOS 2014. The number of options to be awarded to a participant is dependent on job grade level,
performance and criticality to the long-term growth and profitability of the Group.
On 15 May 2015, the Company granted options to certain directors and employees of the Group to subscribe for a total of
15,590,000 shares at $1.07 per share (based on Market Price). All options granted under the Perennial ESOS 2014 are valid for
a term of 5 years from the date of their grants and are exercisable in the following manner for eligible participants who have
been in employment with more than 12 months services as at date of grant:
• After 1st anniversary of the date of grant – 25% of options granted
• After 2nd anniversary of the date of grant – 25% of options granted
• After 3rd anniversary of the date of grant – 25% of options granted
• After 4th anniversary of the date of grant – 25% of options granted
DIRECTORS’ STATEMENT