Company: NTWK
Filing Date: 2025-05-01
Form Type: DEF 14A
Source: 0001641172-25-007993
Chunk: 27

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-05-01
Form: DEF 14A
Chunk 27
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. As of March 31, 2025, the independent board
members were due as part of their board compensation a total of 16,428 shares of common stock. The Company intends to issue the shares
due to these board members using the 2025 Plan. No other or other performance awards, deferred share awards, stock appreciation rights
or restricted stock awards are outstanding under our 2025 Plan.

The Board of Directors believe the shares available for the issuance
of awards under the 2025 Plan is necessary and appropriate to permit the Company to continue to grant officers, other employees, non-employee
directors, consultants and advisors equity-based incentives and equity-based compensation. The Board of Directors is seeking shareholder
approval of the 2025 Plan because of:

● the desire to preserve cash for product
development, research and development;

● the Board of Directors’ belief that the Company
needs to provide incentive, equity-based compensation to executive officers, other employees, consultants and advisors to incentivize
such persons to achieve the Company’s product development milestones;

● the need to compensate non-employee directors for
service to the Company while preserving cash as much as possible (continuing to pay below-market cash compensation while continuing to
align the interests of the non-employee directors with shareholders); and,

● the need to closely re-align the interests of management,
directors, employees and consultants with those of shareholders.

The affirmative vote of the holders of a majority of the shares of
our common stock present, in person or by proxy, and entitled to vote at our annual meeting of shareholders is required to approve our
2025 Plan. Our 2025 Plan is included as Appendix B to this proxy statement.

The principal features of our 2025 Plan are summarized below. This
summary is qualified in its entirety by reference to the full text of our 2025 Equity Incentive Plan in Appendix B to this proxy
statement.

Summary of our 2025 Plan

General. The purpose of our 2025 Plan is to provide us with
flexibility to motivate, attract, and retain the services of employees upon whom our success depends and to provide them with an equity
interest in our Company in order to motivate superior performance. Our 2025 Plan currently provides for the grant of equity-based awards,
including options, stock appreciation rights, restricted stock awards or performance share awards or any other right or interest relating
to shares or cash, to eligible participants.

Shares Subject to our 2025 Plan. The aggregate