The organic food producer AUGA Group will allocate 2.55 million of the Company’s shares to the employees of its companies. With a view to thank its employees and to enhance their loyalty, the Company will allocate the shares to more than 200 employees who made the biggest contributions to the successful business operations of AUGA Group.
On 30 April 2018 the annual general meeting of shareholders of the Company approved the Rules for granting Company’s shares and formed a EUR 957,000 (3,3 million units of shares at their nominal value of EUR 0.29 per one share) reserve for granting the shares to employees. Under the rules, implementing internal procedures, and respective decisions of the competent bodies of the Company to date total amount of 2,548,860 of shares has been allocated: 589,190 shares to employees discharging managerial responsibilities and 1,959,670 shares to other employees of the Company and its subsidiaries, in respect of which option agreements have being executed.
Under options contracts, the employees will have the right to choose whether to receive the shares specified in the contract from the Company no earlier than after 3 years. These shares will be distributed to the employees free of charge, and this will not be deemed as part of their wages.
“The past several years have been vitally important and full of challenges for the Company. We replaced traditional farming with the organic closed-loop agricultural model, launched the production and global sales of organic products intended for end consumers. Last year we successfully completed the secondary public share offering and attracted new investors who believe in the vision of our sustainable business. All these achievements would be impossible without the enormous contribution and sincere work of our employees. I believe that the shares which will be granted to them under options contracts in the future will encourage them to further work towards common goals”, says Kęstutis Juščius, Chair of the Board of AUGA Group.
By allocating the shares, the Company intends to increase employee engagement in the business operations of the Company.
“Our employees understand that the Company does not seek short-term success. For this reason, we create a long-term motivation measure. We want each employee of AUGA Group to truly feel a part of the Company. The success of the Company is also the success of its employees. We will seek and make every effort to ensure that all the best experts would want to join the AUGA community, become part of this community, would grow the company together and enjoy the fruits of success together with other shareholders”, claims Kęstutis Juščius.