TOKYO, Jun 19 (Pulse News Wire) – EXEDY Corporation (7278.T) announced today that its compensation committee approved the introduction of a performance-based equity compensation plan effective June 19, 2026. The new plan aims to enhance long-term corporate value by linking executive remuneration more closely with company performance and stock price appreciation.
Under this scheme, executives will receive monetary claims convertible into ordinary shares based on predefined performance targets such as ROE. The specifics of the compensation, including the timing and amount per share, will be determined by the compensation committee. Shares will be delivered post-performance evaluation periods, contingent upon achieving set goals.
In certain circumstances, such as involuntary resignation during the designated term, executives may receive cash payments instead of shares. Additionally, a restricted share issuance agreement will be signed, prohibiting transfers or pledges of the shares during a defined restriction period. Executives' shares will be managed in a dedicated account at Nomura Securities throughout the restriction period to ensure compliance with the terms.
This initiative underscores EXEDY's commitment to aligning executive incentives with shareholder interests and fostering sustainable growth.
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