Electra Controlling Shareholders Seek $5 Million Annual Pay Package for CEO
Translated & summarized from TheMarker by baba
Electra's controlling shareholders, the Zalkind brothers, are proposing a seven-year, 18 million shekel annual salary for CEO Itamar Deutscher, despite the company's modest performance. Institutional investors oppose the plan and threaten to remove directors who approve it. The decision will be made at an upcoming shareholders' meeting.
The story in 5 lines · by baba
- Electra controlling shareholders propose a 7-year, 18 million shekel annual salary for CEO Itamar Deutscher.
- The proposed salary package comes despite Electra's modest financial performance.
- Institutional investors are opposing the plan and threatening director removal.
- Itamar Deutscher has served as Electra's CEO for two decades.
- The decision on the salary package will be made at a shareholders' meeting.
The controlling shareholders of Electra, the Zalkind brothers, are seeking to grant veteran CEO Itamar Deutscher an annual salary package of 18 million shekels ($5 million) for seven years. This comes despite the company's modest performance.
However, they recognize that unlike in the past, this move will not be simple. Institutional investors are threatening to oust any external director who cooperates with the plan. The question of whether a real estate company's manager can be worth 18 million shekels annually to shareholders, and whether the controlling owners can set such a high salary, will soon be decided at an Electra Ltd. shareholders' meeting. Deutscher, who has been CEO for two decades, is one of the highest-paid CEOs in the Israeli economy, with his compensation exceeding 135 million shekels in the last decade alone.