The Bank of Cyprus (BoC) on Wednesday announced that it has issued 8,573 new shares to members of its general management under its short-term incentive plan, according to a formal information document published on the Cyprus Stock Exchange (CSE).

The new shares, with a nominal value of €0.10 each, were granted free of charge to three senior executives on May 28, 2025, marking the vesting of the second tranche of the incentive cycle for the year 2023.

The plan was approved by the bank’s board of directors on March 31, 2023, and ratified by shareholders at bank’s annual general meeting on May 26, 2023.

The bank explained that “it is part of a broader revised remuneration policy designed to reward executive directors and other eligible employees for achieving strategic, financial and operational goals that support the long-term sustainability of the group”.

The policy was further updated during the annual general meeting held on May 17, 2024, where shareholders approved the option to grant awards in the form of shares.

“The short-term incentive plan aims to compensate the beneficiaries for their contribution to the achievement of the Bank of Cyprus Group’s strategic objectives and of specific financial and operational goals that serve and ensure the long-term interests and sustainability of the Bank of Cyprus Group” the company stated in the announcement.

The incentive is generally paid in cash, but when the award amount exceeds regulatory thresholds, at least 50 per cent of the amount is paid in shares, with the remainder in cash.

The vesting period for these shares extends over five years, with a mandatory retention period of twelve months from the date of vesting.

The new shares are of the same class and carry identical rights as the already issued fully paid shares of the company, including voting rights, dividend rights, pre-emption rights in future offerings, and rights in case of liquidation.

The shares are set to be admitted to trading on both the Main Market of the Cyprus Stock Exchange (CSE) and the Athens Exchange (ATHEX), where they will be traded together with the company’s existing shares.

The new shares will be registered with the Central Securities Depository of the CSE in the share account and portfolios of the beneficiaries at the Dematerialised Securities System as Depositary Interests.

Trading will commence once the Central Securities Depository confirms that the shareholders’ registry has been electronically submitted by the company and meets all regulatory requirements under the relevant securities and stock exchange regulations.

Following the issue and allotment of the new shares, the total share capital of Bank of Cyprus Holdings amounts to €44,082,863, divided into 440,828,633 shares with a nominal value of €0.10 each.

The company clarified that this document does not constitute a prospectus and has not been approved by any supervisory authority, including the Cyprus Securities and Exchange Commission or the Hellenic Capital Market Commission.

It is available to interested parties in hard copy at the company’s headquarters in Strovolos, Nicosia, and online.

Finally, the bank said that interested parties can also contact its investor relations department for further information.