Yinson Annual Report 2020

282 Notes to the financial statements (cont’d) For the financial year ended 31 January 2020 Yinson Holdings Berhad SECTION 7 ACCOUNTABILITY 29. Employees’ Share Scheme (CONTINUED) The fair value of share options granted were determined using the Trinomial valuation model, taking into account the terms and conditions upon which the options were granted. The inputs to the model used were as follows: Grant date 23.12.2016 30.3.2018 27.2.2019 22.1.2020 Dividend yield (%) 0.70 1.58 0.63 - 0.72 1.05 - 1.29 Expected volatility (%) 24.78 19.86 - 25.72 22.25 22.79 Risk-free interest rate (%) 3.34 - 3.48 3.85 3.59 - 3.76 3.29 - 3.34 Expected life of option (years) 2.50 - 3.50 1.50 - 3.50 1.50 - 3.50 1.50 - 3.50 Share price at date of grant (RM) 3.03 4.00 4.50 6.23 Exercise price of option (RM) 2.80 3.65 4.00 6.00 Fair value of option at date of grant (RM): - 1 st tranche (RM) 0.65 0.45 0.72 0.90 - 2 nd tranche (RM) 0.71 0.70 0.88 1.13 - 3 rd tranche (RM) 0.76 0.82 1.03 1.30 The expected average life of options is based on historical information, which may not necessarily be indicative of the future exercise pattern that may occur. The expected volatility reflects the assumptions based on the historical volatility on the assumptions that this is indicative of future trends which may also not necessarily be the actual outcome. Movements in the number of share options over ordinary shares outstanding and their related weighted average exercise prices are as follows: 2020 Average exercise price per share option At start of the financial year Granted Exercised Lapsed At end of the financial year Grant date RM ‘000 ‘000 ‘000 ‘000 ‘000 23.12.2016 2.80 3,196 - (1,047) (112) 2,037 30.3.2018 3.65 5,783 - (453) (100) 5,230 27.2.2019 4.00 - 9,000 - (165) 8,835 22.1.2020 6.00 - 3,740 - - 3,740 8,979 12,740 (1,500) (377) 19,842