Seven Elan directors to share €16m payout after takeover
A handful of directors and employees at Elan are set to share payouts of around €16m as a result of the takeover of the business.
The High Court yesterday approved the $8.6bn (€6.48bn) acquisition of Irish Stock Exchange- listed Elan by US-based Perrigo. The orders were made in the Commercial Court by Judge Peter Kelly.
In Elan's petition to the court seeking the orders, it stated that about $22.2m (€16.1m) may be payable to seven executives of the company upon termination of their employment and the change of control.
A further 14 employees may also receive bonus payments not exceeding $3.3m, the court was told.
The directors and employees are beneficiaries of share incentive plans which will be triggered by the acquisition.
The Elan board includes chairman Robert Ingram, chief executive Kelly Martin and finance chief William Daniel as well as Paddy Power chief Patrick Kennedy, and Davy Stockbrokers' deputy chairman Kyran McLaughlin, former PwC partner Donal O'Connor and ex-IDA boss Kieran McGowan.
The deal gives Perrigo control of royalty rights and potential access to lower taxes as a result of being domiciled in Ireland.