French cosmetics giant, L’Oréal, has announced the launch of its second Employee Share Ownership Plan, allowing employees in 57 countries to purchase up to 500,000 shares at a discounted price. The subscription period for the plan will run from September 17 to October 2, 2020, and settlement is planned for November 3.

Following the success of the first plan in 2018, L’Oréal aims to once again involve its employees in the prosperity of the company. Jean-Paul Agon, Chairman and CEO of L’Oréal, stated that the second plan offers employees the opportunity to support the company’s development and participate in its strategic project, strengthening the bond between employees and the company.

The share purchase price will be determined on September 14 and will include a 20 percent discount on the average opening price of L’Oréal shares on the Euronext Paris exchange over the twenty trading days leading to the decision. However, shares purchased and employee shareholding fund units will be blocked for a five-year period, except in cases defined by applicable regulations.

With sales reaching 29.87 billion euros in 2019 and a global workforce of 88,000 people, L’Oréal remains committed to engaging and involving its employees. The second Employee Share Ownership Plan underscores the company’s dedication to employee participation in its growth and success. By becoming shareholders, employees can align their interests with the company’s and benefit from its future profits and growth.

By launching this plan, L’Oréal acknowledges the importance of its employees in its continued global expansion and dominance in the cosmetics industry. The plan reinforces the company’s commitment to fostering a culture of engagement and empowerment among its workforce, as employees directly contribute to the company’s achievements.

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L’Oréal Employee Share Ownership Plan 2020
Reuters – L’Oréal launches share ownership plan for employees