Playtech shareholders back C-suite bonus package over Snaitech sale
London-listed firm’s investors support incentive which will hand top execs €100m bonus pool over two-year phased period
Playtech shareholders have approved the proposed senior management bonus scheme following the €2.3bn (£1.9bn) sale of Snaitech to Flutter.
At a general meeting held today, 19 December, 59.04% of the FTSE 250 firm’s shareholders gave their backing to the planned bonuses.
The percentage correlates to 148,939,100 votes, with 40.96%, or 103,317,987 votes, going against the plans.
A further 1,309,976 votes were withheld on the resolution.
The approval will now mean Playtech’s top execs will be in line for a maximum aggregate bonus pool of €100m.
The nine-figure sum will be paid out in three tranches, with an initial 60% to be paid on the completion of the sale of Snaitech, which is expected to be in Q2 2025.
A further 20% will then be paid on the first and second anniversary of the transaction’s completion date.
Within the €100m bonus fund, CEO Mor Weizer could receive up to €50m alone, while CFO Chris McGinnis could be in line for €12m.
As per the circular sent out before the meeting outlining the rationale for the bonus award, Playtech said the bonus reflected the value returned to shareholders.
Playtech said: “[This] rewards the delivery of significant value to Playtech shareholders in connection with completion of the sale and the distribution of the substantial value being delivered through the sale. The deferred elements provide a meaningful ongoing retention tool post-sale.”
Alongside the execs’ bonus pool, Playtech shareholders are due to receive between €1.7bn and €1.8bn once the deal completes.
Playtech had faced pressure from some investors over the plans, including Raper Capital and Palm Harbour Capital.
Jeremy Raper, founder of Raper Capital, described the bonus awards as an “attempt to siphon value from stockholders into the pockets of management”.
Palm Harbour Capital’s managing partner Peter Smith said the awards were an “obscene payday for doing what any sensible manager could have done” by selling Snaitech.
Playtech said: “The board of Playtech is grateful for the engagement of its shareholders in advance of the general meeting and is pleased that all resolutions were passed.
“The board notes, however, the level of votes against the resolutions.
“Playtech will continue to engage with its shareholders regarding the implementation of the resolutions and, in accordance with the UK Corporate Governance Code, the company will publish an update on its continued engagement within six months of the general meeting.”