Covent Garden-owner Shaftesbury Capital faces bruising pay row
The owner of parts of London’s Chinatown and other West End destinations is facing a backlash from investors over the vesting of share awards handed to senior executives, Sky News understands.
Over executive share awards worth millions of pounds, the newly merged property empire, which includes portions of London’s Soho and Covent Garden, is facing a bitter shareholder dispute.
Sky News is aware that a number of significant investors intend to oppose the compensation report at the upcoming Shaftesbury Capital annual meeting.
It is believed that City investors are enraged by the fact that share grants vested when the merger was completed, including its chief executive, Ian Hawksworth.
Capital & Counties Properties and Shaftesbury merged to form Shaftesbury Capital, a West End landlord that owns some of London’s most iconic shopping and leisure destinations.
Mr. Hawksworth was in charge of Capco, which was the smaller entity that was acquired in the merger. Because of this, the vesting of Capco’s share awards was unusual and contentious during a cost-of-living crisis.
According to Capco’s 2022 annual report, the deal structure had been chosen because it was best for shareholders.