Boohoo gives staff 17.1 million shares

Boohoo (LSE: BOO) has allocated shares worth £5.7 million to its workforce, comprising 46 individuals, as disclosed in an update to the London Stock Exchange, reports Business Live.

The company’s Discretionary Share Award Plan was cited as the reason behind this distribution.

On Thursday morning, Boohoo’s shares opened at 33.78p, giving a total value of slightly over £5.7 million to the 17,112,212 shares that were awarded. These shares represent 1.35% of Boohoo’s currently issued share capital.

The company clarified that none of its executive directors were recipients of these shares. Instead, the distribution was exclusively reserved for other staff members.

The shares awarded to employees have a vesting period of three years, slated to conclude on June 28, 2026. Continued employment until the vesting date is a prerequisite for the recipients to access the benefits of these shares.

This development has taken place during Boohoo’s ongoing public dispute with Revolution Beauty.

In the midst of the feud, Boohoo, as a significant shareholder in Revolution Beauty, has requested clarification regarding the allocation of shares worth approximately £2 million to its top-level executives.

Revolution Beauty has stated that the senior management team was given complimentary share options in recognition of their diligent work in enhancing the company’s sales.

However, Boohoo has emphasised that shareholders were not consulted regarding these share awards, which are projected to lessen the ownership of current shareholders by 3.4%. As a result, the internet-based fashion retailer has requested total openness and the disclosure of thorough information concerning the share options.