Snaitech’s CEO, Fabio Schiavolin, has recently sold 70,000 shares of Playtech, valued at £523,896.63. This move aligns with the company’s 2012 long-term incentive strategy as Flutter Entertainment prepares to acquire the Italian firm.
Anticipating the completion of Flutter’s €2.3 billion (£1.9 billion) acquisition by the second quarter of 2025, Schiavolin decided to sell his shares at a rate of £7.49 each. The sales, conducted on December 11 on the London Stock Exchange, were finalized in two increments of 35,000 shares.
This isn’t Schiavolin’s first share sale. In October, he sold 20,699 shares, with a total value of £154,239.70. The reasons for these sales aren’t explicitly linked to the Flutter deal; however, Schiavolin could potentially receive additional compensation once the transaction is finalized.
Playtech has announced it plans to distribute between €1.7 billion and €1.8 billion to its shareholders via a special dividend once the sale concludes. Moreover, both Playtech and Snaitech’s top executives are poised to receive bonus payouts as part of the agreement.
Specifically, Playtech executives could receive up to €100 million in cash, distributed in three phases: 60% upon completion of the sale, followed by two annual installments of 20%. Snaitech’s senior team, including Schiavolin, could share a separate cash bonus pool totaling €34 million.
Despite these plans, some Playtech shareholders, including Raper Capital and Palm Harbour Capital, have expressed disapproval of the executive payment scheme. In open letters penned prior to a shareholder vote set for December 19, they contend that the sale to Flutter is simply a routine business transaction that doesn’t warrant excessive rewards for management.
In a letter addressed to Playtech’s chair, Brian Mattingley, Peter Smith—managing partner at Palm Harbour Capital—stated: “While they deserve fair compensation, it seems illogical to bestow an extravagant payout for what any competent manager could achieve.”
Though supportive of management receiving remuneration, Smith emphasized that it should remain balanced, aligning with what he views as the justified current compensation package.
The original article titled “Snaitech CEO sells £523,000 worth of Playtech stock ahead of Flutter deal” first appeared on EGR Intel.