NETSOL Technologies Limited has announced plans to introduce an Employee Share Option Scheme (ESOS) and sell treasury shares to eligible employees, subject to shareholder approval through special resolutions. The company disclosed the development in a material information notice submitted to the Pakistan Stock Exchange (PSX).
According to the disclosure, the Board of Directors, in its meeting held on April 30, 2026, approved a proposal to establish an ESOS for eligible employees. The scheme is designed to strengthen employee engagement and retain key talent by providing long-term incentives linked to the company’s growth and performance.
Under the proposed scheme, NETSOL intends to issue up to 5 million share options, representing approximately 5.57% of its existing paid-up capital. The exercise price of these options will be set at a 50% discount to the company’s closing market price on the date of grant, a move aimed at aligning employee interests with those of shareholders and encouraging long-term value creation.
The company stated that the options will be granted to permanent employees, including members of senior management. Recipients will be selected based on performance and criteria determined by the Compensation Committee and the Chief Executive Officer. The specific names and details of beneficiaries will be finalized at the time of grant.
In a related development, the board has also recommended the sale of 2,690,251 treasury shares to eligible employees under the proposed share option scheme, in accordance with applicable regulations governing share buybacks and treasury stock transactions.
To seek shareholder approval for these initiatives, NETSOL has scheduled an Extraordinary General Meeting (EOGM) for June 3, 2026, in Lahore. The company’s share transfer books will remain closed from May 28 to June 3, 2026, both days inclusive, for the purpose of determining shareholder eligibility to attend and vote at the meeting.
The proposed ESOS reflects NETSOL’s strategy of retaining critical human capital and fostering a culture of ownership among employees while supporting the company’s long-term growth objectives.
