GVC shareholders could rebel against CEO payments
Shareholders advised to vote against “excessively disproportionate”share payments for Kenny Alexander
GVC shareholders are expected to rebel against “excessively disproportionate” share package payments for CEO Kenny Alexander and chairman Lee Feldman.
The operator has awarded Alexander £45m in share options since 2016, while Feldman has picked up share options worth £22.5m in the same time period – packages which shareholder advice bodies are saying investors should vote against at the firm’s annual meeting in Gibraltar next week.
One of these bodies, Glass Lewis, said Alexander’s pay – which is about 550 times that paid to average employees – was “excessively disproportionate”.
GVC CEO Kenny Alexander
More than 45% of investors failed to support the company’s pay policy at its AGM last year.
Luke Hildyard, director of remuneration think-tank High Pay Centre, told The Guardian: “Clearly they’ve completely disregarded the strong vote against last year and are continuing with a similar approach to pay.
“You’d hope that there will be an even stronger vote against this year,” he added.
Shareholder votes against payments are only advisory and the value of GVC shares have grown hugely under Alexander’s leadership following the acquisition of Ladbrokes Coral.
Playtech shareholders recently clashed over a 78% annual pay increase for CEO Mor Weizer after the the supplier issued a 2017 profit warning.