TOKYO, May 15 (Pulse News Wire) – THE Taiko Bank,ltd. (8537.T) announced today that its board of directors approved the introduction of a restricted share compensation plan aimed at enhancing long-term corporate value and fostering greater alignment with shareholders.
The bank plans to propose this new scheme to its annual general meeting scheduled for June 23, 2026, contingent upon shareholder approval. Under the new plan, eligible directors will receive ordinary shares instead of cash bonuses. The total amount of shares granted annually will be capped at ¥60 million.
Additionally, the issuance of stock options linked to performance targets will cease, and a separate allocation framework will be established for the new compensation structure. Shares awarded under this program will be subject to restrictions on transfer and encumbrance for a certain period, with provisions allowing the bank to reclaim such shares without payment under specific circumstances. Details of the exact distribution schedule and conditions will be finalized through discussions within the Nomination and Remuneration Advisory Committee and subsequent board resolutions.
Shares allocated under the new system will be managed in dedicated accounts held with Nomura Securities during the restriction period to ensure compliance with the imposed limitations.
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