ASOS investors concerned over new chairman’s pay package
Online fashion retailer ASOS is reported to be facing pressure from shareholders regarding the financial package being awarded to its new chairman Brian McBride.
The Telegraph has reported that shareholders are worried that McBride’s contract could result in him being awarded £300,000 if ASOS is taken over by another company. Shareholders are understood to be concerned that the potential reward could compromise McBride’s independence in the event of a takeover approach.
McBride is due to take up his new role on Thursday. According to the newspaper McBride’s contract states that he is entitled to a “potential early award in the event of the company being subject to a change of control or takeover”.
Standard Life, one of ASOS’s biggest shareholders, is understood to have expressed its concerns over the contract to the company’s board.
Never Miss a Retail Update!ASOS chief executive Nick Robertson has dismissed recent speculation that online retail giant Amazon had considered making a bid for the online fashion retailer. Robertson said: “I have not spoken to Amazon or [its chief executive] Jeff Bezos for three years.”
News of shareholders’ disquiet follows reports that ASOS directors sold nearly £50 million worth of shares on the same day that the company announced a 42% jump in profits.
