Comment

Whilst the granting of options is seen as important to incentivise management (don’t their salaries do that?) I have never been a big fan as they are in fact a one way bet, management reap any reward without taking any financial risk, whilst investors supply the risk capital, but don’t share the no risk reward if a project becomes a winner. Nice if you can get it!

In this case management have 20% of the outstanding shares as options! This is way too many in my opinion.

And the new options granted were at the current share price, 86c, so where’s the challenge there? Surely options are a reward to be earned? So why not price them at, say, $1.20,? so at least if they exercise them, the shareholders have also been rewarded by an increased share price.

And they are valid for 10 YEARS! Where on earth is the challenge? It’s actually negative for the company in my opinion that such an easy target over such a great length of time has been given. It doesn’t suggest a great deal of confidence in the near term!

i don’t support option grants like this, the exchange should have rules to prevent it in my humble opinion.They should be a reward for increasing shareholder value, not a gimmee.

Read more: http://www.city-investors-circle.com/companies-news/poet-technologies-agm-result-details/#ixzz4EJyxbe00