Motrex Grants Stock Options Worth 1.4 Billion KRW to Employees

[Asia Economy Reporter Park Jihwan] IVI specialist company Motrex announced on the 28th that it will pay bonuses worth 1.4 billion KRW to its employees in the form of treasury shares.

The day before, Motrex disclosed that it would dispose of 247,371 shares of treasury common stock. The expected disposal amount is approximately 1.4 billion KRW based on the previous day's closing price of 5,670 KRW. Stock grants are a type of stock compensation system where the company grants treasury shares it holds to employees.

This is the first time Motrex has granted shares free of charge since its founding. Motrex provided treasury shares as bonuses to employees as a motivation to enhance the company's competitiveness in the new growth industries of autonomous driving and eco-friendly mobility markets. It is expected that, in the long term, all employees will become shareholders and share in the company's growth.

The main purpose of this decision is to prevent the outflow of key talents related to autonomous driving. In fact, expectations for market growth in the autonomous driving and mobility electronic components sectors are high, and demand for related talents is increasing among various companies. According to Motrex, the trend of preventing personnel outflow from IT and gaming companies last year strongly affected Motrex, an electronic components company.

Since successfully turning a profit in Q4 2020, Motrex achieved its targeted management performance, recording cumulative sales of 328.6 billion KRW and operating profit of 27 billion KRW in Q3 2021. A similar trend is expected to continue in Q4. This continuous growth in performance is due to strong global sales of core products and an increase in sales of high value-added products.

Lee Hyunhwan, Chairman of Motrex, stated, "We have introduced the stock grant system for the first time since our founding. Through this, we aim to boost employees' work motivation and sense of ownership, leading to a virtuous cycle that enhances performance by fostering motivation for their work."