Over the last few years there’s been much focus on executive salaries which have been a dominant corporate governance issue. One possible feature of the variable compensation in an executive’s remuneration package is the less discussed ‘transaction bonus’. Other common features include such perks as the so-called ‘stay-on bonus’. What needs to be borne in mind when incentivising managers in M&A transactions? What are the legal limitations and what is ‘best practice’ to align interests instead of creating conflicts?
Herman Kaemingk Loyens & Loeff, Amsterdam
Anna Babych Aequo, Kiev
Jens Eggenberger Flick Gocke Schaumburg, Bonn
Rabbe Sittnikow Hannes Snellman, Helsinki; Vice-Chair, IBA Corporate and M&A Law Committee