Proactive Investors - Ocado Group PLC (LON:OCDO) boss Tim Steiner could receive a bonus of up to £15 million after his pay package was approved by shareholders despite having faced intense scrutiny from critics.
Steiner received the majority vote required to approve his pay for the year at Ocado’s annual general meeting on Monday, however, a fifth of shareholders opposed the retail boss.
Some 19.4% of shareholder votes were made in opposition to Steiner’s pay, while around 80.6% of voters said they were in favour.
While the co-founder’s pay package has been approved, he still will have to jump over a few hurdles before he can receive the full amount.
Steiner’s base salary came in at a little over £824,000, but he can receive an “enhanced multiplier” bonus worth up to 1,800% of his standard pay.
To receive the full bonus, which is around £14.84 million, Steiner would have to guide Ocado’s share price to 2,969p within three years and achieve a string of other performance targets.
Ocado’s current share price sits at 356p, meaning the grocery technology group would have to increase its valuation by 733%.
In its fourteen years of being listed Ocado has risen 124%, however jumped to £28 per share in the peak of the pandemic.
Earlier this month, reports revealed Steiner would be open to considering a switch to the New York Exchange as frustrations grow over the LSE’s failure to see it as a technology company rather than an online grocer.
While a leading benefit from a switch to the US is the improved valuations, it is typically much easier for pay packets to be approved compared to London, where multi-million pound salaries are often scrutinised.