Lotte Biologics said it decided to introduce a stock option system for workers employed at the Korean headquarters.

According to the biopharmaceutical unit of retail giant Lotte, it is the first time since the founding of the Lotte Group that an affiliate has provided stock options to all employees working in Korea.

"We decided on providing stock options to all employees working out of Korea as they will continue to grow along with the rapid growth of our business," a company official said.

After an annual self-performance evaluation for the next five years, the stock options system will be granted to approximately 80 percent of all employees.

The recipient will be determined each year, and the stock options will be made through a separate resolution of the board of directors and general shareholders' meeting.

Afterward, the company plans to introduce the employee stock ownership plan to drive performance through continuous motivation.

However, a Lotte Biologics spokesperson told Korea Biomedical Review that the stock option system will not be available for Lotte Biologics' employees outside of Korea, including those working at the recently acquired Syracuse plant in New York, the U.S.

In January, the company completed the acquisition of Bristol Myers Squibb (BMS) 's biopharmaceutical production plant in Syracuse.

"While a stock option system for employees working outside of Korea may be available in the future, nothing is decided as of yet," the spokesperson said.

Lotte Biologics CEO Richard Lee had previously stressed during the 2023 J.P. Morgan Healthcare Conference in January that the company would rapidly develop its business to become a global top 10 contract development and manufacturing organization (CDMO) company by 2030.