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Share-based payments
Equity-settled share-based payments
1.1 Definitions
An equity-settled share-based payment arises when an entity pays
staff for their services or pays other parties (typically for goods
purchased) by issuing shares or share options.
The following terms are important.
Grant date – date that the share-based payment comes into
existence (is granted).
Vesting date – date that all conditions associated with SBP are met
so options CAN be turned into shares.
Exercise date – date the options ARE turned into shares.
Vesting period – period from grant date to vesting date.
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