Page 14 - PowerPoint Presentation

Share-based Payment

Essential Elements

• Share – based payment is calculated based on the value

of the company

• In return for goods and services (.2/4/5)

• Not for cash

• Not for

• Raising capital

• IAS32 & 9 own shares

• Shares issued in business combination

• Most commonly for employees

• Different forms of SBP

• Issues shares, share options or other equity instruments

• Either new shares or buyback to provide shares
• Transfer cash based on the value of company

• Could be phanptom shares, share appreciation rights etc

• IFRS 2 applied to both types
14