United Kingdom IPO Executive Compensation trends

This report provides a review of the UK Initial Public offering (IPO) executive compensation trends through our research on companies who have listed on the United Kingdom Main Market between January 2019 to December 2022 providing observations on legacy and one-off awards and ongoing incentive plan design for Executive Directors on IPO.

1. 1

   First, a review of the companies in our sample, including:

   • Who listed where? We consider market capitalisation and the indices they entered.
   • Ownership structure? What were the ownership structures of the companies in our sample?

1. 2

   Secondly, we analysed disclosures on incentives granted prior to IPO for executive directors in our sample. This section examines market data in the following areas:

   • Legacy incentives
   • Contingent awards
   • ‘Plug the gap’ incentives

Looking at quantum, award vehicle, vesting schedule and the reasons for the awards. We also consider the external perspective and whether granting such awards leads to negative voting outcomes at the first AGM post-admission.

1. 3

   Lastly, we look at disclosures for forward-looking executive director remuneration for the companies in our sample.

   This section reviews the details across all elements of remuneration and incentive design considering benefits, short-term incentives, long-term incentives and share ownership guidelines.

To find out more, please download our full report.

Authors

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Karen Depoix

Director, Head of Research and Trends EC&BA GB

email Email phone +44 7432 694148

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Isobel Evans

Senior Director, Executive Compensation and Board Advisory

email Email phone +44 7833 440 874

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