NXP Semiconductors NV
For the period ended Apr 29, 2025. Filed Apr 29, 2025.
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What shareholders are asked to vote on at a company's meeting. It is where to find what directors and top executives are paid, and who owns the most shares.
Apr 29, 2025 · Filed Apr 29, 2025
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 14A INFORMATION
Proxy Statement Pursuant to Section 14(a) of the
Securities Exchange Act of 1934 (Amendment No. )
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Filed by a Party other than the Registrant ☐
Check the appropriate box:
☐ Preliminary Proxy Statement
☐Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2))
ý Definitive Proxy Statement
☐ Definitive Additional Materials
☐ Soliciting Material Pursuant to §240.14a-12
NXP Semiconductors N.V.
(Name of Registrant as Specified In Its Charter)
(Name of Person(s) Filing Proxy Statement, if other than the Registrant)
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☐ Fee computed on table below per Exchange Act Rules 14a-6(i)(1) and 0-11
NOTICE OF AND AGENDA FOR 2025
ANNUAL GENERAL MEETING OF SHARE HOLDERS
April 29, 2025
Dear Shareholders:
I invite you to attend the 2025 Annual General Meeting of Shareholders (the “Annual General Meeting” or “AGM”) of NXP Semiconductors N.V. (“we,” “us,” “our” or the “Company”), which will be held on Wednesday, June 11, 2025 at 8:45 a.m. Central European Time at the Sheraton Amsterdam Airport Hotel and Conference Center, Schiphol Boulevard 101, 1118 BG, Amsterdam, The Netherlands.
At the Annual General Meeting, we will discuss, and the Company’s shareholders will vote on, the following items of business:
| Item 1 | Adoption of the 2024 Statutory Annual Accounts |
|---|---|
| Item 2 | Discharge of the members of the Company’s Board of Directors (the “Board”) for their responsibilities in the financial year ended December 31, 2024 |
| Item 3 | Re-appointment of ten current directors named in this proxy statement |
| Item 4 | Authorization of the Board to issue ordinary shares of the Company (“ordinary shares”) and grant rights to acquire ordinary shares |
| Item 5 | Authorization of the Board to restrict or exclude pre-emptive rights accruing in connection with an issue of shares or grant of rights |
| Item 6 | Authorization of the Board to repurchase ordinary shares |
| Item 7 | Authorization of the Board to cancel ordinary shares held or to be acquired by the Company |
| Item 8 | Re-appointment of EY Accountants B.V. as our independent auditors for the fiscal year ending December 31, 2025 |
| Item 9 | Non-binding, advisory vote to approve Named Executive Officer compensation |
In addition to the above voting items we will have a discussion of the dividend and reservation policy and the implementation of the Company’s long-term strategy, including with respect to sustainable long-term value creation and the Company's corporate governance structure and compliance with the 2022 Dutch Corporate Governance Code. We will also consider any other business that properly comes before the Annual General Meeting. None of the proposals require the approval of any other proposal to become effective. We intend that this notice of the Annual General Meeting and the accompanying proxy materials will first be made available on our website on or about April 28, 2025. In accordance with Dutch corporate law and our Articles of Association, the record date for determining those shareholders entitled to notice of, and to vote at, the Annual General Meeting has been set at May 14, 2025. We will begin mailing the proxy materials or Notice of Internet Availability of Proxy Materials, as applicable, to our shareholders on or about May 21, 2025. If you recieve a Notice of Internet Availability but would prefer to recieve printed proxy materials, please follow the instructions included in the notice.
At the Annual General Meeting we will also present the consolidated financial statements and independent auditors’ report for the fiscal year ended December 31, 2024. If any other matters properly come before the Annual General Meeting the persons named in the proxy card will vote in their discretion the shares represented by all properly executed proxies.
As announced in our Form 8-K filed with the SEC on April 28, 2025, on April 23, 2025, Kurt Sievers, our President and CEO, provided notice that he would voluntarily retire as CEO and executive director on October 28, 2025. Following its
CEO succession planning process, the Board unanimously appointed Rafael Sotomayor to succeed Mr. Sievers as President, effective April 28, 2025 and designated Mr. Sotomayor as CEO and temporary executive director of the Company effective as of October 28, 2025, the date of retirement of Mr. Sievers from his CEO and executive director role. Mr. Sotomayor previously served as the Company’s executive vice president and general manager of Secure Connected Edge and a member of the Company’s executive management team since 2020. Upon Mr. Sotomayor’s designation as CEO, Mr. Sievers will serve as a strategic advisor to the Company through December 31, 2025 to assist in the leadership transition.
YOUR VOTE IS VERY IMPORTANT. Please read this proxy statement and the accompanying proxy materials. Whether or not you plan to attend the Annual General Meeting, please submit your proxy card or voting instructions as soon as possible.
By order of the Board of Directors of NXP Semiconductors N.V.,
Jennifer B. Wuamett
Secretary
Eindhoven, The Netherlands
Important Notice Regarding the Availability of Proxy Materials for the Shareholder Meeting to be Held on June 11, 2025
This proxy statement, the notice, our 2024 Annual Report on Form 10-K and the 2024 Statutory Annual Report are available on proxyvote.com and on our website at http://investors.nxp.com by clicking “Corporate Governance”, then “Annual Meeting”.
We Strongly Encourage You to Sign Up For Electronic Delivery of Proxy MaterialsShareholders may request proxy materials be delivered to them electronically by enrolling at www.proxyvote.com. Not only will this result in faster delivery of the documents but also allows our shareholders to join us in our efforts to support a sustainable future and mitigate our impact on the environment.
TABLE OF CONTENTS
| GENERAL INFORMATION | 1 |
|---|---|
| VOTING PROCEDURES | 2 |
| Beneficial Owners | 2 |
| Shareholders of Record | 2 |
| Revocability of Proxy | 2 |
| General Matters | 2 |
| CORPORATE GOVERNANCE | 3 |
| SUSTAINABILITY | 4 |
| Environment | 7 |
| Human Capital Management | 9 |
| Social Responsibility | 13 |
| Health and Safety | 13 |
| ITEM 1: ADOPTION OF THE 2024 STATUTORY ANNUAL ACCOUNTS | 14 |
| ITEM 2: DISCHARGE OF THE BOARD OF DIRECTORS FOR THEIR RESPONSIBILITIES IN THE 2024 FINANCIAL YEAR | 14 |
| ITEM 3: RE-APPOINTMENT OF DIRECTORS | 14 |
| Nominees for Director | 16 |
| Nominee Skills and Experience | 21 |
| Director Independence | 22 |
| HOW OUR BOARD GOVERNS AND IS GOVERNED | 22 |
| Rules Governing the Board | 22 |
| Board Leadership and Role in Risk Oversight | 23 |
| Meetings of NXP’s Board | 24 |
| NXP’s Board Committees | 24 |
| Audit Committee | 25 |
| Human Resources and Compensation Committee | 26 |
| Nominating, Governance and Sustainability Committee | 26 |
| Setting and Overseeing Strategy | 26 |
| Risk Oversight | 27 |
| Board Education | 29 |
| HOW OUR DIRECTORS ARE SELECTED AND EVALUATED | 29 |
| Consideration of Director Nominees | 29 |
| Skills and Experience | 30 |
| Board Refreshment | 30 |
| CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS | 30 |
| HOW OUR DIRECTORS ARE COMPENSATED | 30 |
| Non-Executive Director Compensation for 2024 | 30 |
| ITEM 4: AUTHORIZATION OF THE BOARD TO ISSUE ORDINARY SHARES AND GRANT RIGHTS TO ACQUIRE ORDINARY SHARES | 32 |
| ITEM 5: AUTHORIZATION OF THE BOARD TO RESTRICT OR EXCLUDE PRE-EMPTIVE RIGHTS ACCRUING IN CONNECTION WITH AN ISSUE OF SHARES OR GRANT OF RIGHTS | 32 |
| ITEM 6: AUTHORIZATION OF THE BOARD TO REPURCHASE ORDINARY SHARES OF THE COMPANY | 33 |
|---|---|
| ITEM 7: AUTHORIZATION OF THE BOARD TO CANCEL THE COMPANY’S ORDINARY SHARES HELD OR TO BE ACQUIRED | 33 |
| ITEM 8: RE-APPOINTMENT OF EY ACCOUNTANTS B.V. AS THE COMPANY'S INDEPENDENT AUDITORS FOR THE FISCAL YEAR ENDING DECEMBER 31, 2025 | 34 |
| ITEM 9: NON-BINDING, ADVISORY VOTE TO APPROVE NAMED EXECUTIVE OFFICER COMPENSATION | 35 |
| EXECUTIVE OFFICERS | 36 |
| SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT | 38 |
| EXECUTIVE COMPENSATION | 40 |
| Compensation Discussion & Analysis | 40 |
| Shareholder Engagement and Results of 2024 Advisory Vote on Executive Compensation | 42 |
| Compensation Philosophy | 43 |
| Key Practices in Determining Executive Compensation | 44 |
| Key Components of Our Executive Compensation Program | 45 |
| Peer Group Analysis and Benchmarking | 46 |
| 2024 Compensation Decisions | 47 |
| Executive Share Ownership Guidelines | 54 |
| Other Practices & Guidelines | 54 |
| Employment Arrangements of Named Executive Officers | 54 |
| Key Policies and Practices | 55 |
| Compensation Practices and Risk | 55 |
| Governance | 56 |
| Human Resources and Compensation Committee Report | 57 |
| Summary Compensation Table | 58 |
| Grants of Plan-Based Awards Table | 59 |
| Outstanding Equity Awards at Year-End Table | 60 |
| Option Exercises and Stock Vested Table | 62 |
| Pension Benefits | 62 |
| Potential Payments upon Termination or Change of Control | 63 |
| CEO Pay Ratio Disclosure | 65 |
| Human Resources and Compensation Committee Interlocks and Insider Participation | 66 |
| Equity Compensation Plan Information | 71 |
| Pay Versus Performance Disclosure | 67 |
| CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS | 70 |
| Related Party Transactions | 70 |
| REPORT OF THE AUDIT COMMITTEE | 70 |
| DELINQUENT SECTION 16(A) REPORTS | 71 |
| THE 2026 ANNUAL GENERAL MEETING | 71 |
| OTHER MATTERS | 71 |
| APPENDIX A: Reconciliation of Non-GAAP Measures | 72 |
| Forward-looking Statements | 76 |
GENERAL INFORMATION
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.