Kojamo Oyj — Share Issue/Capital Change 2021

Feb 18, 2021

Kojamo plc’s Board of Directors decided to establish a long-term incentive plan

Kojamo plc’s Board of Directors decided to establish a long-term incentive plan

Kojamo plc Stock Exchange Release, 18 February 2021 at 8:45 a.m. EET

Kojamo plc’s Board of Directors decided to establish a long-term incentive plan

Kojamo plc’s Board of Directors decided on 18 February 2021 to establish a new
share-based incentive plan. The incentive plan consists of three performance
periods (2021–2023, 2022–2024 and 2023–2025). The Board of Directors will
determine the performance criteria for the performance periods, the targets to
be set for each criterion, the target group and the level of possible rewards
available for the key employees included in the target group at the beginning of
each performance period.

The possible reward for the performance period will be paid during the year
following the expiry of the performance period partially in shares in the
company and partially in cash. The cash portion is aimed to cover taxes and
similar fees incurred to the key employees as a result of the rewards.

Ownership obligation and conditions for reward payment

The group’s CEO must hold 50 percent of the net number of shares paid to him
based on the whole incentive plan, until his/her total shareholding in the
company corresponds to the value of his/her annual gross salary.

Other participants must hold 50 percent of the net number of shares paid to them
based on the whole incentive plan, until their total shareholding in the company
corresponds to the value of 50 percent of their annual gross salary. Such amount
of shares must be held as long as the participant’s employment or service
continues in company belonging to the Kojamo group.

In case a key employee’s service in the Company is terminated prior to the
payment of the reward, usually no reward will be paid.

Performance period 2021–2023

The Board of Directors has resolved on the performance criteria, targets and
target group for the first performance period of 2021–2023. During the
performance period the incentive plan is targeted at the members of the
Management Team and other key employees, 19 persons in total. The possible
reward for the performance period of 2021–2023 is based on the group’s total
revenue and funds from operations (FFO) per share.

The possible reward for the performance period will be paid during the year
following the expiry of the performance period partially in shares in the
company and partially in cash. The rewards to be paid on the basis of the
performance period of 2021–2023 correspond to the value of maximum total of
102,277 shares including the proportion to be paid in cash.

The aim of the incentive plan

The incentive plan aims to align the interests of Kojamo’s shareholders and key
employees in order to increase the company’s value in the long term and commit
the key employees to the implementation of the company’s strategy and offer them
a competitive incentive plan based on earning and accumulation of the company’s
shares.

In addition to the incentive plan established in 2021 Kojamo has also a long
-term incentive plan established in 2018 with performance periods 2019–2021 and
2020–2022 currently ongoing.

For more information, please contact:

Maija Hongas, Manager, Investor Relations, Kojamo Plc, tel. +358 20 508 3004,
maija.hongas@kojamo.fi

Distribution:

Nasdaq Helsinki, key media

Kojamo is Finland’s largest private residential real estate company and a
frontrunner in the housing business. Our mission is to create better urban
housing. The Lumo brand provides environmental-friendly housing and services in
Finland’s biggest growth centres. We actively develop the value of our
investment properties by developing new properties and our existing property
portfolio. We want to be the property market frontrunner and the number one
choice for our customers. Kojamo’s shares are listed on the official list of
Nasdaq Helsinki. For more information, please visit kojamo.fi/en/