A shareholder circular issued by Fyffes outlined that some managers are entitled to a share of a €3 million bonus, if the Sumitomo takeover deal goes through next year.
According to Irishtimes.ie, the Irish fruit distributor’s shareholders are set to vote in January 2017 on the proposed €751 million takeover by the Japanese group.
Seemingly, the Fyffes executives will be entitled to an incentive worth in excess of a €1million if they stay with the company in 2017 and a further €1.5million if the deal is agreed on.
Outlined on a letter circulated to staff, Chairman David McCann stated, ‘Whilst the Fyffes board believes that Fyffes is in a strong position in its business development and continues to believe in the standalone prospects of the company, the acquisition represents an attractive premium in cash and crystallises the substantial long-term value potential of Fyffes today.’
If the voting works in favour of the deal being cemented next month, Sumitomo are intending on retaining Fyffes current management team to McCann outlined ‘to grow and expand its various product offerings, expand into new geographies and accelerate the execution of its strategy.’
© 2016 - Checkout Magazine by Donna Ahern