Page 241 - Sigmaroc Annual-Report 2023

29. SHARE OPTIONS
In 2021, the Company introduced a long term incentive plan (LTIP) for senior management personnel. Shares are awarded in the Company and vest in 3 parts over the third, fourth and fifth anniversary to the extent the performance conditions are met.
Share options and warrants outstanding and exercisable at the end of the year have the following expiry dates and exercise prices:
241
Grant date
5 January 2017
5 January 2017
15 April 2019
30 December 2019
Expiry date
Exercise price in £ per share
Options & Warrants
11,878,645
9,030,934
7,976,392
29,146,117
30 December 2026
0.40
31 December 2023
11,878,645
#
31 December 2022
#
30 December 2026
0.25
260,146
15 April 2026
0.46
9,030,934
30 December 2026
0.46
7,943,058
29,112,783
260,146
The Company and Group have no legal or constructive obligation to settle or repurchase the options or warrants in cash.
The fair value of the share options and warrants was determined using the Black Scholes valuation model. The parameters used are detailed below:
2017 Options A
2017 Options B
2019 Options C
2019 Options D
5/1/2017
5/1/2017
15/4/2019
15/12/2021
15/12/2021
-
5
5
7
0.8295
0.8295
0.465
0.40%
31.32%
0.40%
31.32%
0.31%
4.69%
-
-
-
-
-
-
£58,345
£661,604
£419,130
Vested on
Revalued on
Life (years)
Share price
Risk free rate
Expected volatility Expected dividend yield Marketability discount Total fair value
The risk-free rate of return is based on zero yield government bonds for a term consistent with the option life.
30/12/2019 - 7 0.525 0.55% 8.19% - - £729,632
The volatility is calculated by dividing the standard deviation of the closing share price from the prior six months by the average of the closing share price from the prior six months.
2017 Options A and B were extended for another 5 years by the Board on 15 December 2021 and were revalued on this day.