CEO Dorsey gave $200 million of his money to Twitter employeesStaff writer ▼ | October 23, 2015
Twitter CEO and co-founder Jack Dorsey said he is giving a third of his stock in the company, about 1 percent, to the employee equity pool.
Good move To reinvest directly in people
The company confirmed it in a statement: "On October 22, 2015, Twitter and the Jack Dorsey Revocable Trust dated December 8, 2010, for which Jack Dorsey serves as trustee, entered into a Contribution Agreement.
"Pursuant to the Agreement, the Jack Dorsey Trust will give back and contribute to Twitter, without any cost or charge, an aggregate of 6,814,085 shares of Twitter’s common stock.
Mr. Dorsey and Twitter have made the Share Contribution subject to, and effective as of the date of, Twitter’s stockholders approving an equity incentive plan that allows for a number of shares equal to the Share Contribution to be granted over time to Twitter’s employees and other service providers. Mr. Dorsey currently serves as Twitter’s Chief Executive Officer and a member of its Board of Directors.
"In connection with the Share Contribution, the Board has approved Twitter’s 2016 Equity Incentive Plan to provide for the granting of stock options, restricted stock, restricted stock units and other equity awards to eligible employees, directors and consultants from time to time, and has approved an aggregate of 6,814,085 shares of Twitter’s common stock to be reserved for issuance under the 2016 Plan.
"Twitter expects to submit the 2016 Plan to its stockholders for their approval at the annual meeting of stockholders to be held in 2016." ■