Tencent Awards 2,403,000 Shares of Stock Worth about 1.1 billion Yuan to 3,300 Employees

tencent
(Source: Getty Images)

Tencent announced on the Hong Kong Stock Exchange on Wednesday that it plans to give a total of 2,403,203 shares of stock as awards to no less than 3,300 employees, which is worth RMB 1.121 billion based on the closing price of the company’s shares on July 14. The share price is currently HK $561. Therefore, on average, each employee is awarded RMB 340,000.

The award scheme is to recognize employee’s contributions over the years and is an effort to attract and retain staff,including employees, executives or senior staff, directors, experts, consultants or agents.

The financial report suggests that Tencent earned  revenue of 135.303 billion yuan in the first quarter of this year, a year-on-year increase of 25%; the company’s net profit was RMB 47.8 billion, a year-on-year increase of 65%. As of March 31, 2021, Tencent has 89,228 employees and spent over RMB 20.401 billion yuan on remuneration in  Q1 alone.

Chinese tech companies recently launch many plans to retain staff. JD.COM Group announced on Tuesday that it plans to increase the average annual salary of its employees, up from 14-month salary to 16-month salary, within the next two years.

On July 2, Lei Jun announced to distribute 70 million shares of stock worth RMB 1.57 billion yuan to 3,904 outstanding employees of Xiaomi. On July 5th, Xiaomi distributed 16.042 million shares of stock worth about RMB 360 million to the first batch of about 700 outstanding young engineers within the “Young Engineer Incentive Plan”.

SEE ALSO: Xiaomi to Provide over 110 Million Shares to Retain Talents