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Ericsson resolves on an acquisition offer for C shares for the Long-Term Variable Compensation Programs LTV 2025 and LTV 2024

1. Ericsson expands treasury stock for long-term compensation programs. 2. Board acquires 23.1 million C shares for executive compensation. 3. Acquisition payment set at approximately SEK 5 per share. 4. Shares will be converted to B shares post-acquisition, affecting share structure. 5. Total shares post-conversion will be over 3.37 billion.

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FAQ

Why Bullish?

Investments in executive compensation typically indicate confidence in future performance, potentially enhancing stock value—as seen in similar cases within tech firms when executives are rewarded, correlating with stock appreciation.

How important is it?

The expansion of treasury stock and acquisition for compensation programs suggest a commitment to long-term objectives, impacting stock performance positively and reflecting management confidence.

Why Short Term?

The acquisition offer is immediate, with its implications expected to reflect in the short-term due to investor confidence during the acquisition period.

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SEBERIC.BERIC.A
, /PRNewswire/ -- In accordance with the resolutions by the Annual General Meeting 2025, Ericsson (NASDAQ: ERIC) expands its treasury stock in order to provide shares for the Long-Term Variable Compensation Programs LTV 2025 and LTV 2024 for Ericsson's executive team and other executives. The Board of Directors of Ericsson has today resolved, by virtue of authorizations given by the Annual General Meeting on March 25, 2025 (the "AGM 2025"), to direct an acquisition offer to all holders of C shares to acquire these shares. The acquisition shall be made during the period May 5 – May 19, 2025 and payment for acquired shares shall be made in cash with approximately SEK 5 per share (corresponding to the quota value of the Ericsson share). The offer is part of the financing of Ericsson's Long-Term Variable Compensation Programs LTV 2025 and LTV 2024 and includes all 23.1 million C shares which the AGM 2025 resolved to issue to Skandinaviska Enskilda Banken AB ("SEB") for these programs. SEB have today subscribed for all 23.1 million C shares and informed Ericsson that they intend to accept the acquisition offer. Once all 23.1 million C shares have been acquired by Ericsson, the Board intends to convert them to B shares. After the conversion, the total number of shares in Ericsson will amount to 3,371,351,735, of which 261,755,983 are A shares and 3,109,595,752 are B shares. Ericsson currently holds 15,579,561 B shares as treasury stock. NOTES TO EDITORS: FOLLOW US:Subscribe to Ericsson press releasesSubscribe to Ericsson blog postshttps://x.com/ericssonhttps://www.facebook.com/ericssonhttps://www.linkedin.com/company/ericsson MORE INFORMATION AT:Ericsson Newsroom[email protected]  (+46 10 719 69 92)[email protected]  (+46 10 719 00 00) ABOUT ERICSSON: Ericsson's high-performing networks provide connectivity for billions of people every day. For nearly 150 years, we've been pioneers in creating technology for communication. We offer mobile communication and connectivity solutions for service providers and enterprises. Together with our customers and partners, we make the digital world of tomorrow a reality. www.ericsson.com This information was brought to you by Cision http://news.cision.com https://news.cision.com/ericsson/r/ericsson-resolves-on-an-acquisition-offer-for-c-shares-for-the-long-term-variable-compensation-progr,c4144941 The following files are available for download: SOURCE Ericsson WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+ Newsrooms & Influencers 9k+ Digital Media Outlets 270k+ Journalists Opted In

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