I like the concept of incentivizing CEO's on share price rather than market cap. It would also be good to see the price recover to one cent in the next 12 months rather than going the other way.
Share price incentives are good as they add value to shareholders and I get your point about consolidations making it magically happen, however the target should also be adjusted for that. For example a 10:1 consolidation should result in a 1c target adjusted upward to 10c target. It should all be in the fine print and if it's not there we can blame our legal eagle chairman.
The reason I am against any CEO incentives based on market cap as this is simply an incentive for the CEO to dilute the s**t out of the company to make it happen at the detriment of shareholders.
At one cent we are capped at $23m. With option exercise and a few more CR's we could have a market cap of $50m but still be trading at one cent or less, so no value to shareholders.
ASR Price at posting:
0.4¢ Sentiment: None Disclosure: Held
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