Vistry replaces board members following alleged bonus dispute
Written by admin on May 14, 2023
Vistry Group has appointed two non-executive directors, weeks after two board directors resigned following a reported disagreement over executive pay proposals.
The housebuilder, known as Bovis Homes prior to its acquisition of Galliford Try’s housebuilding businesses in 2019, yesterday named Capstar Hotel chief executive Paul Whetsell and ex-Thomson Reuters president of global businesses Helen Owers as new members of its board.
Board members Nigel Keen and Katherine Innes-Ker departed following what the Sunday Times reported on 26 March was a disagreement over executive bonus proposals.
Senior independent director Ashley Steel also announced her departure from the board a month later.
The changes that caused the reported row are not among the proposals that have been circulated ahead of the company’s AGM, which is due to be held next week.
Proxy advisor company Pirc is recommending shareholders vote against the remuneration report, which is being put forward based on 2022 figures.
The organisation says that bonus and long-term incentive payouts are already too high and that the ratio of Vistry chief executive Greg Fitzgerald’s total package compared with the pay of the average Vistry employee – at 28:1 – is too large.
The Times reported that Institutional Shareholder Services, another shareholder advisory group, has also recommended investors vote against Vistry’s remuneration report.
AGM votes on executive pay are advisory rather than binding.
The housebuilder posted a £248m pre-tax profit in the year to 31 December 2022 on turnover of £2.73bn. Profit was down slightly from £320m, on a £2.40bn revenue.
In November, it acquired Countryside Partnerships in a £1.27bn deal.
Vistry non-executive chairman Ralph Findlay welcomed Owers and Whetsell in a statement released on Thursday (11 May). Whetsell is also a former non-executive director of US housebuilder NVR.
He said: “Vistry Group is now a substantially larger and more complex business following our acquisition of Countryside. The significant operational expertise of Paul and Helen, plus Paul’s housebuilding sector experience and Helen’s UK-listed company experience, will strengthen the board as we continue our focus on delivering high-quality homes to more customers and sustainable value to our shareholders.”
