Starbreeze: regarding the Extraordinary General Meeting, reverse stock split, the introduction of stock option programs and reinforcement of the Board of Directors

14 April 2014 / / Announcements,Corporate News,Regulatory Releases

These corporate news are available in Swedish and English.

Starbreeze AB, one of Sweden’s leading game developers, today announced that a notice of the Extraordinary General Meeting will be made public tomorrow regarding the implementation of an employee stock option program, reinforcement of the Board of Directors and the reverse stock split prior to the transfer to First North. The Board of Directors has today decided to submit proposals hereon to the EGM.

The Nomination Committee proposes that the Board of Directors, currently at four members, to be reinforced with yet another board member, and that Eva Redhe Ridderstad is appointed as this new board member.

The Board of Directors has decided to propose a new, broad stock option program for Starbreeze AB. The new program involves a major addition to the stock option program that was introduced in 2012 as part of the acquisition of OVERKILL Software with had the aim to retain a number of key employees of the acquired company.

The Board proposes that the General Meeting resolves on the implementation of a broad stock option program, both in the form of stock options for the majority group of employees, as well as an additional offer for group management and certain key employees in the form of warrants. The stock options are proposed to run over four years and vest by 1/3 over the first three years, linked to continued employment, and have an exercise price equal to 120% current market price. Warrants are proposed to have three-year term and an exercise price of 200% of the current share price which is acquired at market price according to Black & Schole. The stock options, proposed hedged with underlying warrants on the same terms as the options, corresponding to a dilution of 3.3% before “over-hedge” of social security contributions, and 4.1% with regard to the “over-hedge” social costs on exercise. Warrants that management and key employees can acquire at market price correspond to a dilution of an additional 1.3%.

More information on this broad stock option program and about Eva Redhe Ridderstad can be found in the Notice of Extraordinary General Meeting.

Pressmeddelandet för nedladdning: [icon color=”Extra-Color-1″ size=”tiny” image=”icon-file-text-alt”] PRESSRELEASE Svenska 2014-04-14

Pressrelease for download: [icon color=”Extra-Color-1″ size=”tiny” image=”icon-file-text-alt”] PRESSRELEASE English 2014-04-14