Shares of ST Engineering (SGX:S63) are soaring 3.05% in intraday trading on Wednesday, following the company's announcement of a significant share award under its share plans. The move has sparked investor interest and boosted confidence in the company's employee incentive strategy.
According to a filing with the Singapore Exchange on Tuesday, ST Engineering awarded 10,619,077 shares valued at SG$48.2 million. This substantial share distribution has led to a decrease in the company's treasury shares, which now stand at 199,109 shares. The market has responded positively to this development, viewing it as a sign of the company's commitment to aligning employee interests with those of shareholders.
The share award, which represents a significant investment in the company's workforce, may be interpreted by investors as a bullish signal. It suggests that ST Engineering is confident in its future prospects and is taking steps to retain and motivate key personnel. As the news continues to be digested by the market, it will be interesting to see if the stock can maintain its upward momentum in the coming trading sessions.
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