Nedbank CEO’s Pay Rises 13% as Profit Climbs to 8.6 Billion RandRenee Bonorchis
Nedbank Group Ltd., the South African lender controlled by Old Mutual Plc, increased Chief Executive Officer Mike Brown’s pay 13 percent to 32.5 million rand ($3.1 million) after profit rose more than estimated.
Brown, 47, received a guaranteed package of 6.5 million rand, short-term incentives of 13 million rand and long-term share-based awards also valued at 13 million rand, according to the Johannesburg-based lender’s annual report published today. Brown was paid 28.7 million rand in 2012.
Nedbank’s full-year profit climbed 16 percent to 8.64 billion rand as revenue increased and bad debts slowed, the lender said on Feb. 24. The bank’s share price has risen 80 percent and return on equity has climbed to 17.2 percent from 13.4 percent since Brown took over from Tom Boardman in 2010.
The compensation committee “took into account market benchmarks, performance and remuneration levels relative to those of peers,” in deciding Brown’s pay, according to the report.
Nedbank, South Africa’s fourth-largest bank, was little changed at 220 rand a share as of 12:24 p.m. in Johannesburg trading.