French tire manufacturer Michelin announced Monday it will offer shares to approximately 115,000 eligible employees in 44 countries through its new “BIB’Action 2025” employee ownership plan.
The subscription period runs from Sept. 10 to Sept. 25, according to the company. Michelin set the subscription price at €22.19 ($36.03 Cdn) per share, representing a 30 per cent discount from the reference price based on 20 trading days of market data.
Matching contributions and purchase limits
Michelin will provide matching shares based on employee participation levels, according to the announcement. For employees purchasing one to five shares, the company contributes one free share for each share bought. Those buying six to 55 shares receive one free share for every five purchased.
Employees can acquire up to 2,000 Michelin shares under the plan, unless local regulations set lower limits. The company said employees who participate can exercise voting rights at the May 2026 shareholders meeting and receive dividends approved at that meeting.
Five-year ownership target
Yves Chapot, managing director and chief financial officer, said the company aims for employees to hold four per cent of Michelin Group shares by 2030. “Being an employee shareholder means contributing to and benefiting from the Group’s value creation,” Chapot stated in the release.
The company said it has offered employee share ownership plans regularly since 2002 and intends to continue annual offerings.
Regulatory requirements and timeline
Purchased shares are subject to a five-year lock-up period starting from the Oct. 28, 2025, rights issue date, according to French labor code requirements. Employees must hold shares until Oct. 28, 2030, except in cases of early release permitted under French regulations.
The new shares will begin trading on the Euronext Paris market on Oct. 28, 2025, according to the company. Michelin’s annual shareholders meeting in May 2024 authorized the rights issue under the 24th resolution.
The company can increase its capital by up to seven million shares through this plan, according to the announcement. Eligible participants include employees of Michelin Group companies who are members of the employee shareholder plan and have at least three months of service.
