L’Oréal is to launch its second Employee Share Ownership Plan. The plan will be rolled out in 57 countries and is intended to involve employees in the group’s prosperity. L’Oréal launched its first such plan in 2018.
The share purchase price will be set on September 14, 2020. It will be equal to the average of the opening price of L’Oréal shares on the EuronextParis exchange over the 20 trading days preceding the decision, after a 20% discount.
The plan is limited to 500,000 shares (including employer contribution). The subscription period will run from September 17 to October 2, 2020.
Beneficiaries will be able to purchase L’Oréal shares in a “classic” subscription formula, where the value of their investment will vary with changes in the L’Oréal share price. They will also benefit from an employer contribution.
Shares purchased in registered form, as well as employee shareholding fund units, will be blocked for a five-year period, subject to early release exceptions.
“This second Employee Share Ownership Plan is a new opportunity to allow those who wish to do so to support the development of the company and participate in its strategic project. This new plan reaffirms our ambition to unite our employees even more closely with L’Oréal’s future,” commented L’Oréal chairman and ceo Jean-Paul Agon.