// Boohoo’s board approves package that could see up to £150m paid out to executive team
// Mahmud Kamani & Carol Kane will each be in line for £50m if Boohoo reaches the £7.55bn target by 2023
// Samir Kamani in line for a £25m payout, finance boss Neil Catto £10m & remaining £15m to be shared with other execs
The bosses behind online fashion retailer Boohoo could be in for a giant payout if business continues to boom, the company has revealed.
In a bid to ensure that its bosses are “motivated”, the board approved a package that could see up to £150 million paid out to Boohoo’s two founders, and one of their sons.
It places an ambitious target to increase its value by two thirds in just three years.
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Bosses have until June 17, 2023 to reach a market value of £7.55 billion, from around £4.5 billion today.
If they manage to reach a lower target of just under £6.3 billion, bosses can expect a £50 million payout instead.
Chairman and founder Mahmud Kamani and co-founder Carol Kane will each be in line for £50 million if Boohoo reaches the £7.55 billion target.
Kamani’s son Samir, who is the chief executive of BoohooMan, will be in line for a £25 million payout.
Meanwhile fnance chief Neil Catto could end up with a £10 million payday, Boohoo said.
The remaining £15 million will be split between others in the executive team.
Not wanting to make things too easy for the four, shareholders sent the price of Boohoo down by 0.5 per cent this morning.
“The primary objective of the plan is to motivate key members of the management team to continue to achieve exceptional levels of performance across the group and deliver further returns for its shareholders,” the Boohoo Group board said.
“The remuneration committee has carefully considered the structure of the plan and looked to ensure it not only retains and incentivises management, but that it is also acting in the best interest of all shareholders.”
Increasing the value of any business by 66 per cent in just three years is likely to be a daunting challenge, but not one that Boohoo has not risen to in the past.
Since the retailer hit the public market six years ago, its value has risen more than eightfold.