Zig-Zag Introduces Restricted Share Compensation Plan

TOKYO, Jul 27 (Pulse News Wire) – Zig-zag,inc. (340A.T) announced on July 27 that its board of directors had approved the introduction of a restricted share compensation plan aimed at incentivizing executives to sustainably enhance the company's value while fostering greater alignment with shareholders.

The plan requires shareholder approval at the upcoming annual general meeting scheduled for August 27. Under the plan, eligible directors will receive restricted shares either through direct issuance or by converting cash-based compensation into shares. The total number of ordinary shares issuable annually under the plan is capped at 250,000. The aggregate amount of such compensation will be limited to ¥80 million per annum, separate from the existing cash compensation framework approved in 2024.

Each share’s issue price will be based on the closing price of the company’s stock on the Tokyo Stock Exchange prior to the board resolution date. Restricted holding periods will extend until the director leaves their position or as otherwise determined by the board. A restricted share allocation agreement will govern the distribution process, prohibiting transfers and encumbrances during the restriction period. Additionally, the company plans to extend the benefits of this scheme to its executive officers contingent upon shareholder endorsement at the AGM.