IPL Plastics chief entitled to up to €1.9m package after IPO
Company formerly known as One51 is planning to raise €125m in Canadian flotation
IPL is expected to raise about €125 million when it lists later this year
Alan Walsh, the chief executive of IPL Plastics, formerly known as One51, will be entitled to a remuneration package of up to three million Canadian dollars (€1.91 million) on completion of the group’s planned initial public offering and Toronto Stock Exchange flotation this year.
That’s according to the maximum cash bonus and share incentive targets being met, based on objectives such as earnings and total shareholder returns, according to details contained in a shareholder circular issued on Monday ahead of an extraordinary general meeting (EGM) scheduled for May 17th.
The Dublin-headquartered plastics manufacturer, which has about 2,000 Irish shareholders and has production facilities in Ireland, the UK, North America and China, is expected to raise about €125 million when it lists later this year
At the meeting, on May 17th at in Dublin, shareholders will be asked to approve a scheme which will see a reorganisation of the company, and the establishment of a new Canadian group holding company, IPL Plastics Incorporated (IPLP), to facilitate the potential launch of its shares in Toronto.
Under the scheme, shareholders will receive one new IPLP class B share for every five that they currently hold. Those shares will trade on a new grey market for six months after the flotation, at which point they will convert to common stock that can be traded in Canada. IPL will also issue new shares when it lists, in a move which is expected to dilute existing shareholders’ stake in IPL to less than 50 per cent.
The shareholder circular showed that consultants Korn Ferry had been brought on board to advise on remuneration arrangements ahead of the initial public offering. Chief financial officer Pat Dalton would be entitled to annual remuneration of up to 1.99 million Canadian dollars subject to maximum performance targets being achieved.
IPL is expected to proceed promptly with its flotation plans once shareholder approval is received at the egm.
The company said that it wanted to replace two facilities provided by separate Irish and Canadian banking syndicates with a more appropriate company-wide structure.
The plastics manufacturer stems from One51, an investment company spun out of IAWS, now known as Aryzta.
The company was founded in 1939 as a small household goods manufacturer and has since grown into a maker of rigid plastics for packaging, environmental containers and industrial products. It has about 1,900 employees and operations in the UK and China, as well as in Canada and the US.