wilzy123
Founding Member
Hi AG:
Please find the following from BRN ASX Ann dated on the 14/10/2022, which explains how this lapse happened and why the Company consider reissuing the shares to Mr Hernandes.
Laguna Hills, Calif. – 13 October 2022 – BrainChip Holdings Ltd (ASX: BRN), (OTCQX: BCHPY) (“Brainchip” or “the Company”) wishes to advise that the Company proposes the issue of 8 million Restricted Stock Units (RSUs) in Brainchip (New Rights) to Emmanuel Hernandez following his resignation and the lapse of options previously granted to him by the Company on 7 July 2017 (Options). The New Rights are to be issued in accordance with the Brainchip Long-term Incentive Plan (Plan) and invitation terms (Terms) and will be subject to required approvals under the ASX Listing Rules and Corporations Act at the Company’s next Annual General Meeting (AGM) or any earlier EGM that may be called by the Company.
The Options granted to Mr Hernandez lapsed on 1 March 2022, following his resignation from the Company.
Mr Hernandez expressed interest in reaching an agreement with the Company to avoid exercising his Options at the same time and instead to continue holding the Options beyond his resignation date up to expiration. The Company agreed to work with Mr Hernandez to find an alternative to exercising the Options as this was considered to be in the best interest of the Company and shareholders. In so doing, the parties entered into discussions relating to deferring the exercise of the Options. However, at the time of his resignation, it was determined that the Company could not modify the terms of the Options without seeking shareholder approval or a waiver from ASX in relation to Listing Rule approval requirements for any such modification. During the time required to investigate the proper method of modifying the Options and negotiating the terms with Mr Hernandez, the Options ultimately lapsed. As this occurred whilst Mr Hernandez was engaging with the Company on the process for exercise, the Company considers it appropriate to award Mr Hernandez with the new RSUs.
The Company has been exploring the best approach to address this issue, since the lapse of the Options, and has now agreed to issue the New Rights, subject to required shareholder approvals. The board does not consider that the issue of the New Rights will materially prejudice the Company or other shareholders.
Brainchip also considers the issue of the New Rights to Mr Hernandez to be a necessary step in the prevention of any potential claim by Mr Hernandez.
The terms of the New Rights are attached to this announcement
True that it is up to every individual to interpret and decide. BUT IT IS A CLEAR YES FOR ME VOTING FOR THIS MOTION AFTER READING.
This has been explained ad nauseam by the Company. And like the company, Victim also likes to let us know the same things again and again and again.
![Clapping hands :clap: 👏](https://cdn.jsdelivr.net/joypixels/assets/6.6/png/unicode/64/1f44f.png)