Nexon workers to receive shares if they meet 'employment criteria'

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Nexon workers to receive shares if they meet 'employment criteria'

Published: 13 Nov. 2024, 14:44

Nexon headquarters in Seongnam, Gyeonggi [NEWS1]

Game developer Nexon announced that it would grant 100 of its own shares to each of its 8,600 employees a day after reporting an on-year earnings fall, on the current weakness of the yen, that sent its stock crashing.

The employees will receive a total of 20.2 billion won ($14.3 million) — 2.35 million won based on Tuesday’s closing price of 2,572 yen ($16.6) — in restricted stock units on Dec. 26 that vest over five months. The employees will formally own the shares on May 15, 2025, provided that they meet certain “employment criteria,” which the company did not specify further.

The game publisher shared the announcement with its employees on Tuesday, confirming its decision to issue restricted stock units “as a gesture of appreciation for employees’ dedication and hard work,” in celebration of its 30th anniversary, industry sources said Wednesday.

Those eligible include executives and regular employees who are employed at the company's head office and subsidiaries as of Dec. 2. Contract workers, interns, part-timers and executives of Nexon’s Japanese branch are excluded.

As of the third quarter, Nexon’s work force numbers 8,664 employees, including 7,296 at its Korean branch.

Nexon announced Tuesday that its net profit had decreased 23 percent on year in the third quarter due to the weakness of the yen against the dollar, missing market expectations despite strong sales. Its stock plunged 14 percent the same day.

BY WOO JI-WON [[email protected]]