Regulatory press release

The Board of Directors of Luotea Oyj decided on updates to the company's share-based incentive plan for 2023-2027 and on the launch of a new share-based incentive plan for the years 2026-2030

Luotea Plc
Stock exchange release
13 March 2026 at 7:30 p.m.

Updates to the share-based incentive plan 2023-2027

The company's Board of Directors established a share-based incentive plan 2023–2027 for the company's key employees in 2022. The share-based incentive plan 2023–2027 has included three performance periods, calendar years 2023–2025, 2024–2026 and 2025–2027. The key terms and conditions of the share-based incentive plan 2023–2027 were published in a stock exchange release on 15 December 2022.

As a result of the partial demerger of the company, the Board of Directors of Luotea Oyj resolved on necessary updates for the remaining years 2026 and 2027 of the ongoing performance periods 2024–2026 and 2025–2027 of the share-based incentive plan. The update concerns the content of the ESG criterion. It was decided to change the content of the ESG criterion for the remaining years of the performance period to an eNPS measuring employee experience instead of reducing the carbon footprint. The target group of the reward plan includes only the persons who transferred to Luotea Oyj after the demerger. In other respects, the amounts of bonuses and earning criteria remained unchanged.

In the earning period 2024–2026, the earning of rewards is based on the following performance criteria:

Relative total shareholder return (TSR) in 2024–2026 (weighting 30%)
Return on capital employed (ROCE) in 2024–2026 (weight 50%)
Carbon footprint reduction, Scope 1, 2 and 3 (ESG) in 2024-2025 and eNPS (ESG) in 2026 (weight 20%)

The rewards to be paid on the basis of the performance period 2024–2026 are evaluated to correspond to the maximum amount of approximately the value of 183 000 Luotea Oyj's shares, including also the proportion to be paid in cash. The target group of the share-based incentive plan for the performance period 2024–2026 includes approximately 9 key employees, including the Group's CEO and part of the Group Management Team.In the earning period 2025-2027, the earning of rewards is based on the following performance criteria:

Relative total shareholder return (TSR) in 2025-2027 (weight 20%)
Return on capital employed (ROCE) in 2025-2027 (weight 30%)
Carbon footprint reduction, Scope 1, 2 and 3 (ESG) in 2025 and eNPS (ESG) in 2026-2027 (weight 20%)
Revenue growth in 2025–2027 (weight 30%)

The rewards to be paid on the basis of the performance period 2025–2027 are evaluated to correspond to the maximum amount of approximately the value of 291 000 Luotea Oyj's shares, including also the proportion to be paid in cash. During the performance period 2025–2027, the target group of the share-based incentive plan consists of approximately 16 key employees, including the CEO and part of the Group Management Team.

New share-based incentive plan 2026-2030

The Board of Directors of Luotea Oyj resolved on share-based incentive plans.

The Board of Directors of Luotea Oyj has decided to establish a new long-term share-based incentive plan for the Group's key employees. The aim of the new plan is to align the objectives of the company, its shareholders and key employees in order to increase the value of the company in the long term, to commit the key employees to the company and to offer them competitive reward plans based on the earning and accumulation of the company's shares and the increase in the value of the shares.

The share-based incentive plan 2026-2030 consists of three (3) three-year (3) performance periods, calendar years 2026-2028, 2027-2029 and 2028-2030.

In the plan, the participant has the opportunity to earn shares in Luotea Oyj based on the achievement of the performance criteria. The Board of Directors decides on the performance criteria of the plan and the targets to be set for each performance criterion at the beginning of the performance period. The potential rewards of the plan will be paid after the end of each performance period.

In the performance period 2026–2028, the earning of rewards is based on the following performance criteria:

Cash conversion (20%) in 2026–2028
Earnings per share (EPS) (40%) in 2026–2028
eNPS (ESG) (20%) in 2026–2028
Revenue growth (CAGR) (20%) in 2026–2028

The rewards to be paid on the basis of the performance period 2026-2028 correspond to the maximum amount of approximately the value of 389 000 Luotea Oyj's shares, including also the proportion to be paid in cash. The target group of the share-based incentive plan for the performance period 2026-2028 includes approximately 18 key employees, including the CEO and Group Management Team.

General

The rewards of the share-based incentive plan will be paid partly in Luotea Plc's shares and partly in cash. The cash portions of the rewards are intended to cover taxes and tax-related costs arising from the rewards paid to the participants. As a rule, the reward will not be paid for the participant if their employment or executive contract expires during the performance period or restriction period.

A member of the Group's Management Team must own at least 50 per cent of the net shares paid to him or her under the new plans until the value of the member of the Group Management Team in the company corresponds to the value of his or her annual salary. This number of shares must be held for as long as the membership of the Group Management Team continues.

LUOTEA PLC

The Board of Directors

More information:
Heikki Eskola, General Counsel, +358 50 586 5907

Luotea is a real estate service company that provides comprehensive solutions throughout the entire lifecycle of properties, integrating energy efficiency and data-driven technologies. Luotea’s services enhance property value and create the best possible conditions for property users. Our offering includes a wide range of advanced property maintenance, technical, and consulting services, as well as cleaning and support services.

Luotea operates in Finland and Sweden. In 2025, the company’s revenue totaled €346 million, and it employs approximately 5,000 people. Luotea is listed on Nasdaq Helsinki.

Distribution:
Nasdaq Helsinki
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