Sports betting media group Better Collective is determined to award key personnel with a new incentive plan which will provide grants in the form of performance share units and/or share options.
Participate in Value Creation
The Long Term Incentive Plan (LTI) approved by the board of directors at Better Collective is aimed at retaining, motivating and rewarding selected key employees at the group, while supporting the creation of sustainable value for Better Collective shareholders.
Designed by the Remuneration Committee, the LTI also seeks to align the interests of key personnel to those of the sports betting media group’s shareholders by providing an opportunity for the employees to participate in the value creation measured against selected metrics and share price growth.
Grants totaling 134,953 performance share units and 239,350 share options will be available to 63 key employees under the LTI in 2023, and while the program will be revolving around a yearly grant, its size and allocation in the following years will be determined solely by the board of directors.
In 2023, the LTI’s total value will range from €2.9 million ($3.06 million) payable at 100% target achievement of the financial goals, to €4.4 million ($4.65 million), in case the group performs exceptionally well and above the targets. Both amounts are calculated based on a constant share price but the grant will be zero if the group does not meet its financial goals.
Expensed as Employee Remuneration Costs
Better Collective outlined that “the grant value of the program will be evenly expensed as an employee remuneration cost during the vesting period,” while after each period, the cost will be subjected to evaluation based on “the forecasted performance on the financial KPIs at that time and the expected retention rate of the employees included in the program.”
The sports betting media group noted that the LTI will not dilute share value for its shareholders as the obligations towards its employees, Better Collective intents to meet “by way of treasury shares acquired in share buy-back programs.”
Employee remuneration plans are not new to the sports betting media and developer of online gaming educational platforms, determined to go the extra mile in keeping key employees by motivating them to stay with the business.
In October 2021, Better Collective came up with a $12 million incentive plan aimed at retaining management personnel and certain key employees of Action Network with the company following its acquisition by the group earlier in the year by rewarding them based on revenue and EBITDA projections.