Galaxy Entertainment Group (GEG), a prominent Macau concessionaire, has granted a substantial HK$622.6 million (US$79.7 million) worth of share options and share awards to its Board of Directors, senior executives, and other employees. The company views this as a strategic move to incentivize and align the interests of key personnel with its long-term financial success.
Strategic Incentives for Key Personnel:
GEG has allocated 1,907,000 share options and 610,200 share awards to Vice Chairman Francis Lui, amounting to a combined US$14.3 million.
Chairman Dr Lui Che Woo has been granted 1,348,000 share options and 431,300 share awards, with a total value of US$10.0 million.
Executive directors and other executives, including Joseph Chee Ying Keung, Paddy Tang Lui Wai Yu, Eileen Lui Wai Ling, and Andrew Nicholas Lui, have also received varying grants.
An additional 434 unnamed employees have been included in the incentive program, with a combined 7,387,000 share options and 1,883,200 share awards, valued at US$51.9 million.
Grant Structure and Vesting:
The share options can be exercised at the market price of HK$43.75 (US$5.60) per share, as of Friday’s market valuation.
Vesting is structured in three equal tranches, set to occur on 29 December 2024, 29 December 2025, and 29 December 2026.
Promoting Long-Term Financial Success:
GEG clarified that these grants are designed to motivate and provide long-term incentives to the recipients.
The intention is to align the interests of key personnel with the shareholders of GEG, fostering a collective focus on the company’s sustained financial success.
Financial Performance Highlights:
GEG recently reported robust financial results, including gross gaming revenues of HK$8.75 billion (US$1.12 billion) and Adjusted EBITDA of HK$2.77 billion (US$355 million) for the quarter ending 30 September 2023.
Galaxy Entertainment Group’s substantial allocation of share options and awards underscores its commitment to fostering a cohesive and incentivized leadership team. By aligning the interests of key personnel with the company’s long-term financial goals, GEG aims to drive sustained success in the dynamic Macau gaming landscape.