Allianz today announced that it has exercised its right to terminate the legacy PIMCO employee equity plan (M Unit Plan) and will purchase outstanding PIMCO M Units for cash. M Unit options were awarded to employees between 2008 and 2020, and the outstanding M Units held by former and current employees represent a 9.4 percent ownership in PIMCO.
Current PIMCO employees may elect to retain their M Units under a new, separate contractual regime until after termination of employment. As former employees hold a 4.4 percent ownership in PIMCO in total, Allianz will pay a consideration of at least 1.4 billion euros1 in cash at closing in accordance with the M Unit Plan rules.