Stonkel, using your example, where JV has been issued 1m shares...

Stonkel, using your example, where JV has been issued 1m shares in ZEOat a SP of 5.2c, the Company has enabled this by offering a $52,000 loan (locking the shares with a lien), if JV sold 1m shares in the future at the 5.5c (which it seems will be controlled by Zeotech – not too hard to do as the Company has a lien and could allocate a broker to handle the sale/proceeds) the 1m share sale would realise $55,000, the first $52,000 will be applied to repay the loan (money into ZEO) and the surplus $3,000 will be JV’s (before CGT).

No doubting, JV will make a lot more money (so will all SH’s) if theshare price goes to 10c or 20c and that’s the aim IMO of theses incentivisedplans, as its obvious by his role in Zeotech as Head of Projects and R&D,that his contributions and effort, will most likely translate to developing thecompany’s assets, especially IP, recent quarterly’s have tabled he did develop2 new patents for ZEO (in-house) not to mention he sounds like someone ZEO SH’swould want to have a vested interest in the Company, along with the rest of theemployees that have been allowed to participate.

“ John leads the management of Zeotech’s in-house research and is thelead technical representative for its university research programs. John was anAlumina Quality Workshop scholar and completed his PhD thesis on thehydrothermal synthesis of zeolites in industrial processes. He is focused ondeveloping clean technologies to transform clay minerals and mining wastestreams into value-added products. His materials characterisation expertiseincludes XRD, ICP, XRF, FE-SEM, TGA, PSD and Raman spectroscopy.

John holds a Bachelor of Engineering (B.E. Hons) in Chemical andMetallurgical Engineering and a PhD in Chemical Engineering from The Universityof Queensland (UQ), Australia.”

IMO it’s like the employees, have participated in a placement at 5.2cto obtain a level of ownership in the Company they are clearly a part ofbuilding , the incentive is not free shares, but a non-recourse loan to fundthe shares – which enables the Company to control the shares and receive 5.2cif/when sold, and the employee gets the surplus after that.

As for conditions to allow sale, I can only assume, the Board wouldneed to give approval and the plan has certain T&C’s etc, but there is nodiscount to the value of the incentive shares, they were issued today at avalue of 5.2c.

IMHO it’s a win/win scenario – employees are incentivise by havingownership in the Company they work for (help retain them and be part ofsomething) and SH’s receive the cash value of the SP where the shares wereissued as a capital injection into the Company if they are ever sold.

Go and have a look at the backgrounds of the team members at ZEO https://zeotech.com.au/our-people/IMHO they look to be a capable team & one that I’m happy to see ZEO retain and incentivise to deliver for SH's