Fossil Group, Inc. Announces Inducement Grant Under Nasdaq Listing Rule 5635(C)(4)

Rhea-AI Summary

Fossil Group, Inc. (NASDAQ: FOSL) has announced an equity award as a material inducement for its newly-hired Chief Executive Officer, Franco Fogliato. The award consists of 1,500,000 time-based restricted stock units (RSUs) with an effective grant date of October 15, 2024. The RSUs will vest in two equal installments: 50% on the first anniversary and 50% on the second anniversary of the grant date, contingent on Fogliato's continuous employment with the company.

The inducement award was approved by Fossil Group's Board of Directors on September 1, 2024, in compliance with Nasdaq Listing Rule 5635(c)(4). It was granted outside the company's equity incentive plan and is intended to serve as a material inducement for Fogliato's employment, which began on September 18, 2024.

Positive

• Appointment of a new Chief Executive Officer, Franco Fogliato
• Significant equity award (1,500,000 RSUs) to attract and retain top executive talent

Negative

• Potential dilution of existing shareholders due to the large RSU grant

RICHARDSON, Texas, Oct. 15, 2024 (GLOBE NEWSWIRE) --  Fossil Group, Inc. (NASDAQ: FOSL) (the “Company”) today announced that it is granting an equity award as a material inducement to the employment of the Company’s newly-hired Chief Executive Officer, Franco Fogliato.

In connection with the appointment of Mr. Fogliato as Chief Executive Officer effective September 18, 2024, the Company is granting Fogliato an employment inducement award consisting of 1,500,000 time-based restricted stock units (“RSUs”) with an effective grant date of October 15, 2024 (the “Grant Date”). The RSUs will vest 50% on the first anniversary of the Grant Date and 50% on the second anniversary of the Grant Date, subject to Fogliato’s continuous employment with the Company on each vesting date.

The inducement award to Fogliato was granted as a material inducement to his employment and was approved by the Company’s Board of Directors on September 1, 2024, in accordance with Nasdaq Listing Rule 5635(c)(4). The award was granted outside the Company’s equity incentive plan.

About Fossil Group, Inc.

Fossil Group, Inc. is a global design, marketing, distribution and innovation company specializing in lifestyle accessories. Under a diverse portfolio of owned and licensed brands, our offerings include watches, jewelry, handbags, small leather goods, belts and sunglasses. We are committed to delivering the best in design and innovation across our owned brands, Fossil, Michele, Relic, Skagen and Zodiac, and licensed brands, Armani Exchange, Diesel, DKNY, Emporio Armani, kate spade new york, Michael Kors and Tory Burch. We bring each brand story to life through an extensive distribution network across numerous geographies, categories, and channels. Certain press release and SEC filing information concerning the Company is also available at www.fossilgroup.com. 

Global Corporate Communications: 

James Webb 
Fossil Group 
jwebb1@fossil.com

Investor Relations:                

Christine Greany                                                                              
The Blueshirt Group                              
christine@blueshirtgroup.com

FAQ

How many restricted stock units (RSUs) did Fossil Group (FOSL) grant to its new CEO?

Fossil Group granted 1,500,000 time-based restricted stock units (RSUs) to its new CEO, Franco Fogliato.

When will the RSUs granted to Fossil Group's (FOSL) new CEO vest?

The RSUs will vest 50% on the first anniversary of the grant date (October 15, 2025) and 50% on the second anniversary (October 15, 2026).

When did Franco Fogliato start as CEO of Fossil Group (FOSL)?

Franco Fogliato started as Chief Executive Officer of Fossil Group on September 18, 2024.

Under which Nasdaq rule did Fossil Group (FOSL) grant the inducement award?

Fossil Group granted the inducement award in accordance with Nasdaq Listing Rule 5635(c)(4).