Xpeng CEO He Xiaopeng has the opportunity to unlock a significant award if the company’s Hong Kong-traded share price reaches HK$750 within the next 10 years. This ambitious target represents a substantial increase from the current price of HK$89.55 and could result in a total grant value of approximately HK$2.55 billion ($328 million).
The proposed grant includes over 28.5 million shares that will be granted to Mr. He at no cost, subject to specific conditions tied to the performance of Xpeng’s share price. If certain share price targets are met, Mr. He will be able to unlock portions of the grant over time.
According to the announcement made by Xpeng, one-third of the grant will be unlocked if the average closing share price in Hong Kong reaches HK$250 for 30 consecutive trading days. An additional one-third will be unlocked at HK$500, and the final one-third at HK$750. If these targets are not met by March 18, 2035, the grant will expire.
Since joining Xpeng in 2015 and assuming the role of chairman and CEO in 2017, Mr. He has played a vital role in the strategic planning and business operations of the company. The grant is intended to incentivize Mr. He’s dedication and leadership in guiding Xpeng’s strategic planning and development, aligning his interests with those of the company.
The announcement also highlighted Mr. He’s current shareholdings in Xpeng, including class A and class B shares. Additionally, it noted that Mr. He had recently purchased additional shares in the company, demonstrating his confidence in Xpeng’s future prospects.
Xpeng’s Hong Kong-traded shares have shown significant growth this year, reflecting positive market sentiment towards the company. The proposed share incentive plan is subject to shareholder approval and is part of Xpeng’s long-term strategy to drive value for its stakeholders.
In conclusion, the grant to Xpeng CEO He Xiaopeng underscores the company’s commitment to rewarding leadership and driving shareholder value. With ambitious share price targets set for the future, Mr. He’s leadership will play a crucial role in unlocking the full potential of this award and driving Xpeng’s continued success in the electric vehicle market.
