Employee Share Incentive Scheme

 

Employee Share Incentive Scheme  is an incentive plan to attract, retain and reward senior management or key employee by granting them company’s shares or option, so that designated employees could benefit from the effective allocative mechanism of profit-sharing and decision-making.

 

With adoption of the scheme, Listed Company or Pre-IPO Company in Hong Kong will normally reserve shares, purchase their own shares from the secondary market or issue new shares and hold the shares/option through a trustee. The trustee will then distribute the shares according to the scheme, employees could convert their corporate ownership into cash by selling their shares or keep holding.

 

We are working closely with BOCOM’s onshore and offshore branches, as well as various industry partners including brokers, lawyers, accountants and tax advisors to provide a comprehensive solutions to our clients. As of December 2021, we have provided our superior services to over 70 listed companies, services including:

 

■  Employee Restricted Share Unit Aware Scheme (RSU) 

■  Employee Stock Option Plan

■  Employee Share Ownership Plan (ESOP)

■  Offshore Red-Chip Structuring

■  Pre-IPO Trust

■  Company Secretarial Services

■  Cross-border Account Opening for Employee

■  Filing with State Administration of Foreign Exchange (SAFE)

 

 

The Benefits of Employee Share Incentive Scheme

 

All parties in the company are heading to the same goal

By establishing a profit-sharing mechanism that employee could participate in the decision making process, to create mutual benefits for both senior management and shareholders, and attract, retain and motivate senior management and core members, eventually promote enterprise cohesion.

 

Effectively  promoting corporate image

Adoption of Employee Share Incentive Scheme signals the company’s good prospect and decent development, listed company could optimize the corporate governance and effectively manage their market reputation.

 

Tax Consideration

BOCOM Trustee has developed close relationship with tax advisors in the region and can refer the professional tax advisor to help companies with more proper tax planning when setting up an Employee Share IncentiveScheme Trust.

 

 

Case Sharing

BOCOM Trustee has provided EmployeeShare Incentive Scheme Trust  Services to a SOE （State Owned Enterprise）in China who is a large-scale communication infrastructure service provider. The plan successfully enabled key employees to participate in the incentive scheme through "Onshore designated account + Offshore Trust Account" structure.

 

 

Our Awards

 

We are pleased to receive the 12th "The Outstanding Brand Awards 2019", with the industry of "Employee Share Award Scheme", presented by the Hong Kong famous financial magazine Economic Digest on 10 May 2019.

In 2019, there are 23 organizations from different industries are awarded with respect to their achievements in developing their product, service and brand awareness. For the criteria/methodology of selecting awardee, please refer to: https://www.edigest.hk/article/99045/經一活動/實力品牌大獎2019/.

 

 

 

Why Bank of Communications Trustee Limited

 

■  Wholly-owned subsidiary of Bank of Communications Co., Ltd. with strong background and sound credibility.

■  Professional team with extensive trust experience, serving our clients for over 40 years.

■  As at 31 December 2022, our assets under management is nearly RMB¥640 billion.

■  Strong understanding of different client cultural background, provide tailor-made solutions.

 

For more detailed information, please contact our trust business team at 2213 7619/2213 7622 or email to trustmktg@bankcomm.com.hk