EMPLOYEE STOCK PURCHASE PLAN - ESPP
Company-managed program in which engaged employees can purchase company shares at the discounted price. Employees make their contributions through payroll deductions, created between the offering date and the purchase date. At the purchase date, the firm uses the collated funds to acquire shares in the company on behalf of the employees. The discount depends on the given plan, but normally, it is 15% lower than the market price.
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