Haik news18 Jul 2010 11:36
Can someone explain what this means? Thanks!!
Long term incentive arrangements and
Notice of Extraordinary General Meeting
HaiKe Chemical Group Ltd. ("HaiKe", or the "Company", or the "Group"), the AIM quoted (AIM: HAIK) petrochemical, speciality chemical and biochemical business based in China, today announces the convening of an Extraordinary General Meeting ("EGM") to seek Shareholders approval for two proposed long term incentive schemes. A Circular giving full details of the proposals and a notice of EGM has today been posted to Shareholders and will be available on the Company's website: www.haikechemical.com.
The proposed Schemes
The Board of HaiKe intends to adopt two new long term incentive schemes: the Share Option Scheme and the Phantom Share Option Scheme, and to obtain shareholders' authority to allot and issue shares on exercise of options under the Share Option Scheme at the relevant time.
It is the intention of the Board that where possible Directors, employees and key consultants will receive options over actual shares under the Share Option Scheme. Where, however, for regulatory reasons, it is not possible to grant options over actual shares (this includes Directors, employees or consultants in the People's Republic of China), phantom options will be granted over shares under the Phantom Share Option Scheme. The number of Ordinary Shares over which options may be granted under the Share Option Scheme will be restricted to eight percent of the Company's issued Ordinary Share Capital.
Options under either Scheme will be subject to both time vesting and performance criteria. Resolutions are to be proposed at the EGM to approve the rules of the Schemes.