MTN Group rolls out R160m share rewards for top executives

Key topics:MTN Group awards R160m shares to execsPerformance Share Plan ties rewards to 3-year targetsVesting based on TSR, cash flow, ROE, and ESG metrics.Sign up for your early morning brew of the BizNews Insider to keep you up to speed with the content that matters. The newsletter will land in your inbox every morning on weekdays. Register here.Support South Africa's bastion of independent journalism, offering balanced insights on investments, business, and the political economy, by joining BizNews Premium. Register here.If you prefer WhatsApp for updates, sign up to the BizNews channel here..By Jan Vermeulen.MTN Group has awarded shares worth R160 million to its top executives and directors under its Performance Share Plan 2010, the company announced in a JSE notice after market close on Tuesday.The company announced that several directors, prescribed officers, and company secretaries were awarded and accepted these shares on 31 March 2026.“These are subject to performance conditions, in accordance with the MTN Performance Share Plan,” MTN stated.MTN explained that all award recipients with minimum shareholding requirements obligations have fulfilled their requirements.“The vesting date has been accelerated to 10 December 2028, aligning with the date on which the award would normally have been granted, being 10 December 2025,” said MTN.In its latest integrated annual report, MTN said its long-term incentive scheme links employees’ rewards to the organisation’s sustained performance over 3 years.“It is designed to strengthen employee retention through the issue of rolling annual grants, which are performance-based under the performance share plan,” it said..Read more:.Right of Reply: MTN Group rejects claims of terrorism support, vows to defend US cases.The MTN board evaluates the performance of executives eligible for the Performance Share Plan using four equally weighted criteria.They are: Total shareholder return, cumulative operating free cash flow, return on equity, and Environmental, Social, and Governance (ESG).Total shareholder return (TSR) uses a sliding scale with 100% vesting at the 75th percentile of the Morgan Stanley Capital International (MSCI) emerging markets (EM) Telecoms Index.TSR is measured by comparing the 30-day volume-weighted average price at the beginning and end of the three-year measurement period, plus reinvested dividends.The cumulative operating free cash flow criterion has its vesting set at 25% for achieving 90% of the target and 100% for achieving 110% of the target, with a sliding scale between these points.Return on equity is defined as adjusted headline earnings per share over equity, excluding non-controlling interests and approved non-operational items, divided by three.There is a 25% vesting at 90% of budget/target, a 100% vesting at 100% of budget/target, and a straight-line vesting between the kick-in and budget/target rate.ESG comprises at least the following elements: broadband coverage, diversity and inclusion, and Net Zero emissions.It is measured over three years, with 25% vesting at a threshold value and 100% vesting at a target value, with straight-line vesting between the threshold and target rates.The following table provides a breakdown of the share awards and the total value of the windfalls for the directors and prescribed officers mentioned in the announcement..This article was first published by MyBroadband and is republished with permission.

MTN Group rolls out R160m share rewards for top executives

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