Directors set to benefit from Stobart changes
THE directors of Stobart Group are to enjoy the benefits of a new incentive plan that will encourage them to, “pursue aggressively value-maximising strategies”.
The details are included in the Warrington-based group’s prospectus for a £120m placing and open offer announced on April 21.
The group wants to use the extra cash to drive growth in areas such as energy, property and its airports business, including £25m for London Southend Airport and Carlisle Lake District Airport and £32m for a biomass facility in Widnes.
Subject to shareholder approval it will issue 77 million new shares to a placing and open offer at 155p, up 4.6% on the closing price on April 20.
The prospectus states: “The board has also decided that the remuneration structure for the executive and operational management of Stobart needs to be updated to reflect the opportunities that management identify and introduce to the group.”
It adds: “The New Incentive Plan will encourage the management to pursue aggressively value-maximising strategies in relation to existing and new assets of the group, which will strengthen their alignment with shareholders’ interests.”
The beneficiaries will be 12 senior executives who are considered to be in a position to influence, “group performance, profitability and shareholder return”.
Some 75% of the long-term incentive plan pool will go to chief executive Andrew Tinkler, chief operating officer William Stobart and group director Allan Jenkinson.
Mr Tinkler and Mr Stobart could also benefit if shareholders back a plan for the group to buy their commercial property business. They have been asked to approve the acquisition of a portfolio the two men acquired from Stobart in 2007 for £140m when the company floated.
Mr Jenkinson is already set to receive £20m in shares and loan notes for his 50% stake in a biomass business, Stobart Biomass Products, he was running with Stobart.
