What is the
leveraged formula?
100% guaranteed
By subscribing to ESOP 2023:
| Your personal contribution is protected in euro1: If the value of your units at the end of the holding period is lower than the subscription price, your employer will pay an indemnity per unit subscribed, equal to the difference between the subscription price and the value of your units which is based on the Capgemini SE share price at the end of the holding period. |
You will make a capital gain1 in euro, if the value of your units is higher than the subscription price you paid. You will benefit from the potential distribution of dividends, attached the shares purchased by the FCPE, over the whole period during which you hold FCPE units. Capital gain = final value of your FCPE units – subscription price you paid |
A cash bonus1 (thanks to the SAR) paid by your employer (amount based on the protected average increase in the Capgemini share price over the duration of the plan). |
1 Amount which may be subject to tax and social charges and which is subject to changes in the exchange rate between the beginning and the end of the holding period. For more information, please refer to the tax section of the Local Supplement
On the other hand:
1. The participation in the protected average increase is partial and decreases as the protected average increase in the price of the Capgemini share grows,
2. Your investment must be held for a period of five years (except in case of authorised early release).
The protected average increase and the multiple booster
| The protected average increase is the difference between the average of the share price readings and the reference price, which will be set on November 10, 2023. |
Your gain is calculated based on the protected average increase in the Capgemini share price over the duration of the plan.
Each month (on the last trading business day)2 the Capgemini SE share price will be recorded. The 60 readings will permit the calculation of the average Capgemini SE share price over the 5 years. The average is called protected as none of the readings could be below the reference price. All the readings, which will be less than or equal to the reference price will be automatically replaced by the reference price.
The average of the Capgemini SE share price over the 5 years is compared to the reference price. This difference, when positive, gives the Protected Average Increase.
Protected Average increase = Protected average – Reference price
2 If the fifteenth of the month is not a working day on the stock market, the closing price will be determined on the previous trading day. Exceptionally, the first closing price will be determined on the day of the capital issue.
What is the multiple and why does it have an amplifying effect?
The multiple is a multiplier coefficient applied to the average increase. It allows you to multiply your gain and therefore optimize your performance. The multiple decreases as the protected average increase in the price of the Capgemini share grows.
How does it work?
Examples of potential return on investment thanks to the SAR, without taking into account potential additional capital gain when you redeem your units: The amounts shown are solely for indicative purposes, to make the offer easier to understand. In these examples, an indicative reference price of €150 is used, i.e. a subscription price by employees of €131.25 (87.5% x €150) with a 12.5% discount.
Note that the performance is calculated by relinquishing the discount.
| If the protected average increase in the Capgemini share price over the period has been… | 0% | 10% |
20% |
|---|---|---|---|
| Which means an average of readings of… | €150 | €165 |
€180 |
|
…by investing 262.5€ in 2023, in 2028, enables you to receive3… |
€0 |
€469.77 |
€642.50 |
| You will therefore multiply your personal contribution by… | 1 |
1.79 |
2.45 |
| In other word this makes an average annual return of… | 0% |
12.3% |
19.6% |
N.B. the examples above do not take into account any changes in the exchange rate if applicable
3 The indicative amounts are in Euro: the value of your units and the cash bonus will be paid in your currency based on the exchange rate between the Euro and your currency at the date of the payment.
What are the risks?
Your investment carries no risk of capital loss in euro because your personal contribution is guaranteed.
If applicable, the protection provided by your employer will not be absolute, because the payment does not take into account taxation and / or social charges if any, nor the effect of unfavourable exchange rates (if the Euro exchange rate variation between November 10, 2023 and the date on which your investment will end is unfavourable). Your personal contribution and the cash bonus will be denominated in Euro. The value of the units you subscribed and the potential additional amount through the SAR will be converted into your currency at market rate applicable on the date of the cash payment.
Depending on the evolution of the exchange rate between euros and your subscription currency, you might benefit from a gain or loss on your investment.
What is the investment period?
Your assets are locked up for 5 years except in case of early release. Following the holding period, you cannot maintain your assets in the ESOP 2023.
You will be consulted a few weeks before the end of the plan to make your choice:
- to receive the amount of your assets
- to transfer your assets to the FCPE “Capgemini Classic” invested in Capgemini SE shares offered as part of the International Group Savings Plan (IGSP)
Without any answer, your investment will be automatically transferred to this FCPE.
The fund invested in Capgemini SE shares, the unit value of which will increase or decrease according to the Capgemini SE stock market share price, will no longer afford the protection in euros on your personal contribution of the ESOP 2023 after the five-year holding period.
Once the holding period has elapsed you will no longer benefit from the protection in euros on your personal contribution nor any cash bonus entitlement, as the SAR granted by your employer will have matured and any amount due with respect to the SAR will have been paid to you.
Early release cases
Your investment will be held for five years. However, in some circumstances, early release may be allowed, for instance in case of:
- Termination of the employment contract
- Disability of the employee
- Death of the employee