Kuang-Chi Technologies unveils new employee stock ownership plan

Kuang-Chi Technologies Co., Ltd. has released its 2025 Employee Stock Ownership Plan (Draft), seeking to align employee and shareholder interests. The plan, which requires shareholder approval, will be self-managed by a dedicated committee. It will involve up to 75 participants, including directors, senior management, and key employees, with a maximum of 1.36 million shares, representing 0.06% of the company's total share capital. The total fundraising is expected to be no more than CNY 38.9657 million.

The shares for the plan will be sourced from the company's repurchased A-share common stock at a price of CNY 28.65 per share. This price is set to be no lower than 60% of the average trading price over 1, 20, 60, or 120 trading days before the draft announcement. Funds will come from employees' legal compensation and self-raised capital, without company financial assistance.

The plan has a maximum duration of 48 months, with shares unlocking in three tranches: 30% after 12 months, 30% after 24 months, and 40% after 36 months. This is conditional on both company-level revenue growth targets (e.g., 100% growth by 2026) and individual performance assessments. The plan is estimated to incur total expenses of CNY 21.7056 million, amortized over 2026-2028.