Tecnotree Oyj — Share Issue/Capital Change 2021

Feb 26, 2021

Tecnotree Board of Directors approves the Long Term Incentive (LTI) plan for 2021-2024 and the issuance of shares to Tecnotree

Tecnotree Board of Directors approves the Long Term Incentive (LTI) plan for 2021-2024 and the issuance of shares to Tecnotree

Tecnotree Corporation Stock Exchange release 26 February 2021 at 08:45 (CET +1)

After succesfull implementation of LTI 2019-2022, Tecnotree announced today that
its Board of Directors has approved the company's employee incentive program for
2021-2024 (the "LTI-2 Plan") designed to align the participants' focus with
Tecnotree’s growth strategy and long-term success. The LTI-2 Plan includes the
following instrument:

· Restricted Share Units (RSUs) giving a contractual right to receive shares
over the next 3 year period as per an equated semi-annual vesting schedule.

LTI-2 Plan Objective

The incentive plan aims to align the interests of Tecnotree’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 accumulation of the company’s
shares.

LTI-2 Plan Coverage

Restricted Share Units (RSUs) are granted to Tecnotree key employees for
purposes related to retention and recruitment to ensure that Tecnotree is able
to retain and recruit the talent which are critical for the future success of
the company. The incentive program would currently cover 175 employees in total.

LTI-2 Plan Timetable

Under the LTI-2 Plan, the RSUs are divided into six semi-annual tranches spread
over 3 years, each tranche consisting of one sixth of the RSUs granted.

LTI-2 Plan - Quantum of Shares

The grant under the LTI-2 plan could result in an aggregate maximum number of
8.0 million Tecnotree shares being granted to Tecnotree employees. At the
approximate avarage share price in February 2021 of EUR 0.63, the aggregate
value of the LTI-2 plan is EUR 5.04 million spread over the period of three
years.

Share issuance for the settlement of shares for the purpose of the LTI-2 Plan

Tecnotree’s Board of Directors has resolved to issue, without consideration,
[8.0] million Tecnotree shares to Tecnotree to be later used to fulfil the
company’s obligations under the LTI-2 Plan. The resolution to issue shares is
based on the authorization granted to the Board of Directors by the Annual
General Meeting on 15 May 2019 (General Authorization).

Dilution effect

Once the 8,000,000 shares issued to the company have been registered with the
Trade Register, the company will have in aggregate 282,628,428 shares. The new
shares represent approximately 2.83% of all the shares after the share issue.

FURTHER INFORMATION
Priyesh Ranjan. CFO. tel. +971 50 955 1188

About Tecnotree
Tecnotree is the only full stack digital business management solution provider
for digital service providers, with over 40 years of deep domain knowledge,
proven delivery and transformation capability across the globe. Our open source
technology based agile products and solutions comprise the full range (order-to
-cash) of business process and subscription management for telecom and other
digital service providers. Tecnotree products and platforms service over 800
million subscribers worldwide.Tecnotree is listed on Nasdaq Helsinki (TEM1V).
For more information, please visit www.tecnotree.com.

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