Astral Media Shareholders Quash $25 Million Payout to Founder Ian Greenberg
The Canadian broadcaster pulled a planned vote by investors on the proposed bonus for the company CEO, before receiving solid support for a $3.38 billion takeover by phone giant BCE Inc.
TORONTO – Ian Greenberg will still emerge a very wealthy man after shareholders on Thursday overwhelmingly approved the $3.38 billion sale to phone giant BCE Inc. of Astral Media, a media giant his family launched 50 years ago.
But just before the special shareholders meeting got started in Montreal, Astral Media pulled from voting an ordinary resolution for a $25 million “bonus and retention” payment for Greenberg, the company CEO.
Astral said it did not put the $25 million payment to a vote “based on the proxies received prior to the meeting," meaning it did not have enough votes for passage.
The broadcaster will go ahead with a separate $20 million retention payout to Astral’s management and key employees.
The management circular issued ahead of Thursday’s investors meeting indicated the $25 million payout to Greenberg was proposed as he established "Astral as a highly successful ‘pure play’ media company and… would suffer significant future income loss as a consequence of completion of a transaction.”
Greenberg is playing a vital role for BCE through the ownership transition.
Astral shareholders did approve the wider takeover of the company by BCE, which is to fold its TV, radio and outdoor advertising properties into its own media holdings, which include the top-rated CTV network and a stable of cable channels.
“I am very pleased by the overwhelming support of Astral's shareholders in favor of the arrangement. This enthusiastic support aptly reflects the value that the negotiated agreement represents for all Astral shareholders," Greenberg said in a statement following the investors meeting.
The BCE takeover of Astral Media still awaits court and regulatory approvals, and is expected to be completed by the end of the year.
- Prince Takes Over the 'Arsenio Hall Show,' Debuts New Funky Song
- A Train, a Trestle and 60 Seconds to Escape: How 'Midnight Rider' Victim Sarah Jones Lost Her Life
- 'Divergent' Star Shailene Woodley: The Next Jennifer Lawrence?
- 'Noah' Banned in Several Middle Eastern Countries
- Lindsay Lohan's OWN Series Gets First Official Trailer (Video)
- MOST SHARED
- MOST POPULAR
- This Guy's Acapella Version Of Mike Tyson's 'Punch Out' Will Make You Nostalgic (VIDEO)
- Conan O'Brien Gives Body-Slam Filled Review Of The WWE 2K14 Video Game
- George Lopez Returns With 'Saint George' And Talks Diversity On Television (VIDEO)
- Brittany Murphy & Dakota Fanning Were The Perfect Couple In 'Uptown Girls'
- Ian Somerhalder Sings Smokey Robinson Classic in 'Esquire China' Behind the Scene Video - Watch Now!
- 'Glee'Actor Harry Shum Jr. is Engaged to Girlfriend Shelby Rabara!
- Nicole Richie Proudly Rocks New Purple Hair at Lunch with Joel Madden!
- Zooey Deschanel's 'New Girl' & Mindy Kaling's 'Mindy Project' Get Early Renewals From Fox!