A big pay day is coming for iiNet executives as the TPG takeover closes

Gold from the SS Central America. Picture Getty Images

The takeover of iiNet, Australia’s second largest ISP, by TPG will deliver $25 million in ­bonuses and termination payments to executives.

CEO David Buckingham gets almost $9 million, most of it from shares in his long term incentive scheme. Other iiNet executives, including COO Maryna Fewster, also benefit from the takeover.

The Australian newspaper reports Michael Smith, the chair of iiNet, will be paid about $2.6 million for his 270,000 shares.

The $1.56 billion takeover is at $9.55 for each iiNet share, made up of $8.80 cash or 0.969 TPG shares, plus a 75 cent special dividend.

The combined companies will have 1.7 million customers, revenue of $2.3 billion and staff of about 5,200.

Those 1.7 million combined customers are retail fixed-line internet subscribers, a number which is second only to Telstra’s 3 million fixed broadband user base.

The takeover now has all regulatory approvals.

There’s more HERE.

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