RS2 software sets up trust to encourage employee ownership

RS2 Software plc, the IT and card solutions company, is to set up a trust to implement an employee share option scheme.

A company announcement on Thursday said the board had resolved to establish the RS2 Employee Trust under terms and conditions identified in the company’s prospectus of May 16, 2008.

“The trust has been set up for the benefit of the company’s employees, particularly to encourage the participation of employees in the ownership of the company through a share option scheme,” the company said.

The RS2 Employee Trust has been funded by a loan from the company to be repaid back by the trust by December 31, 2022 or on the termination of the trust, whichever comes first.

Last Wednesday and Thursday, the RS2 Employee Trust collectively purchased 750,000 ordinary shares at €0.48 each. The purchases were made to enable the RS2 Employee Trust to implement the company’s employee share option scheme.

These shares will be held by the RS2 Employee Trust to satisfy the future exercise of options to be granted to employees of the company to purchase shares.

When the options are exercised by the respective option holders the share capital of the company will not be diluted.

Following these transactions the RS2 Employee Trust holds 750,000 shares, representing two per cent of the company’s issued share capital and voting rights.