Company: BLRX
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001178913-25-001123
Chunk: 142

Company: BioLineRx Ltd.
Filing Date: 2025-03-31
Form: 20-F
Item: Item 3
Chunk 142
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 at least every two years and compared to the market. Our board of directors may change the
amount of the fixed components for one or more of our executives after receiving a recommendation for such from our Compensation Committee,
provided such change is within the limits determined by the Compensation Policy and subject to applicable law. The change may be made
if our board of directors concludes that such a change would promote our goals, operating plans and objectives and after taking into account
the business and legal implications of the proposed change and its impact on our internal labor relations. Any such changes are subject
to formal approval by the relevant parties. Under Israeli law, our board of directors has the authority to approve a change in the incentive
structure of all executive officers, including the chief executive officer, up to an immaterial amount. The fixed component of compensation
remunerates the specific role covered and scope of responsibilities and reflects the experience and skills required for each position,
as well as the level of excellence demonstrated and the overall quality of the office holder’s contribution to our business. The
weighting of fixed compensation within the overall package is designed to reduce the risk of excessively risk-oriented behavior, to discourage
initiatives focused on short-term results which might jeopardize our mid and long-term business sustainability and value creation, and
to allow us a flexible compensation approach. We offer our employees benefit plans based on common practice in the local labor market
of the office holder.

Variable components of compensation are determined with an aim
at creating maximum alignment between the Compensation Policy and our operating plan and objectives. Variable components of compensation
are primarily based on measurable long-term criteria, except that a non-material portion of variable compensation may be based on qualitative
non-measurable criteria which focus on the office holder’s contribution to the Company. Our variable compensation aims to remunerate
for achievements by directly linking pay to performance outcomes in the short and long term. To strengthen the alignment of shareholder
interests and the interests of management and employees, performance measurements reflect our actual results overall, as well as that
of the individual office holder. To support the aforementioned principles, we provide two types of variable compensation: short-term -
annual bonuses; and long-term - equity compensation.

Annual bonuses are based on achievement of the business goals set
out in our annual operating plan approved by the board of directors at the beginning of each year. The operating plan encompasses all
aspects of our activities and as such sets the business targets for each member of the management team. Consequently, our Compensation
Commit