French multinational information technology company, Capgemini, has rolled out its seventh employee stock ownership plan (ESOP). The last ESOP was offered in 2019, and 98 per cent of its employees were eligible to subscribe. This year, 96 per cent employees will be eligible, including all its 1.2 lakh employees in India.
Only about four per cent of the CApgemini workforce will be deprived of participating, only because of the legalities and tax regulations operative in their locations.
While the subscription price of the new shares, in Euros, will be set on November 5, the entire process will be completed on December 17. The latest pool will have a maximum of 30 lakh shares.
All those who complete three years of service in the Company as on November 12, 2020, and remain part of the organisation for at least a day during November 10 to 12, may subscribe.
The shares will have a five-year lock-in period.
As per the forumulae defined by Capgemini, employees will enjoy a guarantee on the sum invested into the plan.
The ESOP is part of the Company’s initiative to link all its employees with its development and performance.
This seventh ESOP will be “implemented through a capital increase reserved for Capgemini staff for a maximum of 3,000,000 shares, with settlement-delivery no later than December 17, 2020.”
While the reservation period will be open from September 17 to October 6, 2020, it will be followed by a subscription/revocation period from November 10 to November 12, 2020.