Steinhoff’s Star gave Ben la Grange generous 30% pay increase
Steinhoff Africa Retail (Star) paid its former CEO Ben la Grange R50.2m in its 2017 financial year, its annual report released on its website on Friday showed.
La Grange, who resigned as Star’s CEO on December 6 to focus on his other job as chief financial officer of parent group Steinhoff International following an accounting scandal that led to the sudden resignation of its CEO Markus Jooste, received a 30% pay increase from the R38.7m in the retail group’s 2016 financial year.
La Grange’s basic remuneration for the year to end-September was R14.4m, which was topped up with a R13.7m annual bonus, a R13.3m deferred bonus an R8.3m strategic bonus.
The JSE-listed holding company of Pep, Ackermans and Russells appears to pay its CEO a far higher salary than its competitors.
For instance, Mr Price’s CEO, Stuart Bird, received a total remuneration of R15.3m, according to its 2017 financial report.
Woolworths CEO Ian Moir received R34.7m, Shoprite CEO Pieter Engelbrecht R31.3m and Pick n Pay CEO Richard Brasher R24.5m, according to those retail groups’ respective annual reports.
La Grange was succeeded by Star chief operating officer Leon Lourens following his resignation.
Star also announced on Friday that its plans to gain 50.6% of the voting rights of Shoprite, which it had announced on November 30, had collapsed.
Christo Wiese, who stepped down as Steinhoff’s executive chairman on Thursday night, was no longer able to implement various call option agreements he intended making via Titan and other companies in his stable, Star said.
The announcement sent Star’s share price up 10.45% to close at R18.50 while Shoprite’s fell 5.74% to R210.69 on Friday.