Infosys Allots 5.11 Lakh Shares To Employees; Who Are Eligible?

 

The shares have been allotted under two programmes — the 2015 Stock Incentive Compensation Plan and the Infosys Expanded Stock Ownership Program 2019

Infosys, India’s second-largest IT company, has allotted 5.11 lakh shares to eligible employees as an incentive for their contributions to the company’s growth. The shares have been allotted under two programmes — the 2015 Stock Incentive Compensation Plan and the Infosys Expanded Stock Ownership Program 2019.

Read More: HDFC, HDFC Bank Turn Ex-Dividend Today; Key Details Investors Must Know

“The company has allotted 5,11,862 equity shares on May 12, 2023, pursuant to the exercise of Restricted Stock Units by eligible employees as hereunder: 1,04,335 equity shares under the 2015 Stock Incentive Compensation Plan; 4,07,527 equity shares under the Infosys Expanded Stock Ownership Program 2019,” Infosys said in a statement.

On May 12, 2023, Infosys’ issued and subscribed share capital stands increased to Rs 20,749,373,460 (or Rs 2,074.93 crore) divided into 4,149,874,692 (or nearly 4.15 billion) equity shares of Rs 5 each.

The Infosys Expanded Stock Ownership Program 2019

The purpose of this Plan is to increase shareholder value, by expanding employee ownership of the Company, in order to incentivise, retain and attract key talent through this performance-based stock grant programme.

Those who are eligible include:

Read More: Nexus Select Trust IPO allotment date today. How to check status online

1) A permanent employee of the Company (or a Subsidiary of the Company) working in India or out of India, or

2) Directors or directors of any Subsidiary,

but shall not include

1) Any employee who is a Promoter or belongs to the Promoter Group, or

2) Any Independent Directors of the Company (or a Subsidiary of the Company); or

3) Director(s) who either themselves or through a relative or through any body corporate, directly or indirectly, hold more than 10% of the outstanding Shares.

Vesting: The Restricted Stock Units granted under the Plan shall vest based on the following three performance parameters, the relative weightage of which shall be determined by the Administrator provided that each parameter shall have a weightage of at least 25% and no single parameter shall have a weightage of more than 50%:

Lock-in Period: There will be no lock-in period in respect of the Shares received post-exercise of the Award.

The 2015 Stock Incentive Compensation Plan

The purposes of this plan are: Attract, retain and motivate talented and critical employees; Encourage employees to align individual performance with Company objectives; Reward employee performance with ownership in proportion to their contribution; Align employee interest with those of the organisation. The 2011 RSU Plan stands deleted and replaced by the 2015 Incentive Compensation Plan stated herein.

Those who are eligible include:

Read More: Stocks To Watch: Pfizer, Vedanta, PVR Inox, GAIL, Oil India, ONGC, Indian Oil, Bharti Airtel

1) Employees, other than (A) any Employee who is a Promoter or belongs to the Promoter Group or holds 2 per cent or more of the outstanding Shares, or (B) except with the prior approval of the Reserve Bank of India, employees who are the citizens of Bangladesh, Pakistan or Sri Lanka; and

2) Directors or directors of any holding company or Subsidiary, other than (A) any Independent Directors or (B) Director(s) who either themselves or through a relative or through any body corporate, directly or indirectly, hold more than 10 per cent of the outstanding shares.

In Q4 FY23, Infosys posted a net profit at Rs 6,128 crore, a jump of 7.8 per cent over the year-ago period. Its revenues during January-March 2023 increased 16 per cent to Rs 37,441 crore, compared with Rs 32,276 crore a year ago. The net profit of Infosys had stood at Rs 5,686 crore in the corresponding period last year.