KUCHING: Reservoir Link Energy Bhd (RLEB) has proposed a new long-term incentive plan (LTIP) comprising an employees’ share option scheme (ESOS) and a share grant scheme (SGS), with a combined allocation of up to 15 per cent of its issued shares (excluding treasury shares).
In a filing with Bursa Malaysia, the company said it also plans to terminate its existing ESOS, which was established on July 28, 2021 and will expire on July 27, 2026.
RLEB previously offered about 43.36 million share options on May 26, 2023, of which 21.54 million were granted to eligible persons at an exercise price of RM0.2756 per ESOS 2021 option.
As at Oct 21, 2025, nearly 17.54 million ESOS 2021 options remain outstanding and unexercised. RLEB closed at RM0.205 last Friday.
“The ESOS committee does not intend to offer any further ESOS 2021 options. In addition, the exercise price of ESOS 2021 options is currently ‘out-of-the-money’. Pursuant thereto, the board (of directors) proposes to terminate the ESOS 2021 option and replace it with the proposed LTIP,” the company said.
“The proposed LTIP entails the proposed establishment and implementation of an LTIP comprising a proposed ESOS and proposed SGS, where the aggregate number of RLEB shares made available under the proposed ESOS and proposed SGS shall be a maximum
of 15.0 per cent of the total number of RLEB shares (excluding treasury shares) at any point of time during the duration of the proposed LTIP for the eligible persons.
“The proposed LTIP shall be in force for a duration of five years,” it added.
RLEB currently has an issued share capital of RM69.99 million, comprising 362.42 million shares including 3.8 million treasury shares. The group also has about 71.25 million outstanding warrants (2021/2026) at an exercise price of RM0.63 per warrant, expiring on April 27, 2026.
The illustrative exercise price of the new ESOS is RM0.183 per option, representing a 9.72 per cent discount to the five-day volume-weighted average price (VWAP) of RM0.2027 up to the LTIP announcement date. RLEB said proceeds from the exercise of future ESOS options will be channelled toward working capital.
Over the past year, the company raised RM8.65 million through a private placement involving 27.46 million new
shares at RM0.315 each. Bursa Securities has granted RLEB an additional six months, until April 6, 2026, to place out the remaining 5.9 million shares under the exercise.
The RM8.65 million raised has been fully utilised: RM7.39 million for the acquisition of a 30 per cent stake in Propel Maxflo Sdn Bhd, RM1.18 million for working capital, and RM80,000 for placement expenses.
