Capgemini announces ESOPs for 97% workforce

Capgemini has announced a new employee share ownership plan (ESOP) aimed at approximately 97 per cent of its workforce. The move aligns with the Group’s policy to involve employees in its growth and performance.

This latest ESOP will be executed through a capital increase reserved for Capgemini employees, allowing for the issuance of up to 2.7 million shares. The amount is equivalent to 1.56 per cent of the company’s outstanding shares. The initiative follows the conclusion of the 2019 ESOP at the end of this year and aims to maintain employee ownership at around eight per cent of Capgemini SE’s share capital.

In a meeting in June, 2024, Capgemini SE’s Board of Directors approved a share buyback plan that may be used over the next 12 months to offset any dilutive effects of the new capital increase.

The planned timeline for this initiative includes a reservation period from 12 September to 1 October, 2024, followed by a subscription or revocation period from 12 November 14 to November, 2024. The subscription price for the new shares will be determined on 7 November, 2024, with the capital increase slated for completion on 19 December, 2024.

Employees will be able to participate in the share ownership plan through subscription formulas that are both leveraged and guaranteed, designed to protect against potential losses while the shares remain non-tradable. Voting rights will be managed by the holders, who could include an FCPE (Fonds Commun de Placement d’Entreprise), the employees directly, or the financial institution structuring the offer, depending on the context and formula.

The implementation of the leveraged guaranteed offering will involve hedging transactions by Crédit Agricole Corporate and Investment Bank, the financial institution overseeing the offer. These transactions may occur on or off the market through purchases, sales of shares, or the acquisition of call options and other instruments, during the Reference Price fixing period from 10 October to 6 November, 2024, and throughout the plan’s duration, which extends to 19 December, 2029.