Investors revolt over 888 boss's potential £1.3m bonus

Almost one-quarter of shareholder votes opposed 888's pay policy in a protest against a potential £1.3m annual bonus for Chief Executive John Mendelsohn.

The gaming company awarded Mendelsohn a 9% pay rise this year, taking his salary to £650,000, and increased his maximum annual bonus to 200% of salary from 150%. The company said it did so to reflect its bigger size and Mendelsohn's extra responsibilities.

In its annual report 888 said it had consulted shareholders and a small number remained opposed to the increase.

At its annual general meeting on Thursday 24.4% of votes opposed the remuneration policy. 888 said 69.1m votes were cast against the policy and a further 2.8m abstained. Under company law the company has six months to talk to shareholders again and report back.

"The board thanks shareholders for their support for the directors' remuneration policy and notes that approximately 24% of votes cast opposed the resolution," 888 said.

There was extensive engagement with shareholders in early 2021 … Amendments were made to the proposals to reflect feedback and the board understood that while the majority of shareholders consulted were supportive, a minority had concerns about the proposed increase to annual bonus. The board will review and consider shareholder feedback received as it implements the new policy."

The revolt at 888 is the latest in a series of shareholder protests over pay at AGMs in 2021. Pendragon, the car dealer, received only 57.6% support for its pay report, which awarded CEO Mike Wright a big bonus after the company cut 1,800 jobs and accepted government financial support during the pandemic.