Former Entain CEO to be paid full salary until December 2024
Jette Nygaard-Andersen stepped down from top job in December 2023 but will receive her full pay from FTSE 100 firm during garden leave
Entain’s 2023 annual report has revealed former CEO Jette Nygaard-Andersen will remain on the payroll until 13 December 2024 and receive a salary of £844,600 plus benefits.
Nygaard-Andersen stepped down with immediate effect last December and, according to various news reports, was the result of activist shareholder concern over her management of the group’s M&A activity and strategy, as well as the tanking share price.
Entain agreed to treat the Dane “as a good leaver” and in line with her contractual agreements of a 12 months’ notice period, therefore she will be paid her base salary and receive normal benefits until 13 December.
Nygaard-Andersen will also receive a “time pro-rated bonus in respect of 2023” with half paid in cash and the other in deferred shares.
As for other C-suite salaries detailed in the annual report, Stella David, current interim CEO since 13 December, will receive a 3.5% increase to the CEO salary paid to Nygaard-Andersen in 2023, in line with the firm’s 2024 salary review budget for UK employees, to £874,200.
When adding together base pay, benefits, pension, annual bonus and long-term incentives, Nygaard-Andersen was awarded a total package worth more than £1.32m, although this was down on the £1.9m she collected in 2022, which included a £1m bonus.
The Entain committee also reviewed the salary of CFO and deputy CEO Rob Wood and approved a 3.5% increase in his base salary to £573,700 from 1 January 2024.
His pay packet for 2023 was £554,300, plus he received an annual bonus of £22,000. Other benefits took Wood’s total remuneration to £821,000, significantly down on the £2.6m he collected in 2022 due to hefty long-term incentive payout.
Meanwhile, chief governance office Robert Hoskin, who stepped down from the board last June, picked up a total pay package of £298,000 in 2023.
As for financial results highlighted in the report, the FTSE 100 firm noted a payment of £585m Deferred Prosecution Agreement (DPA) as a result of a HMRC settlement into activities by the company’s legacy Turkish-facing business, which was sold in 2017. link
This led to full-year group losses of £879m after tax in 2023. However, the firm did report a 12% year-on-year rise in group online net gaming revenue (NGR) to £3.4bn and total group NGR, including retail operations, of £4.8bn – up 11% compared to 2022.
Entain’s shares are down 35% over the past 12 months to 793p, at the time of writing, way off the peak of approximately £21 achieved in late 2021.