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SuperGroup to share success of Superdry with £30m cash pay out for staff

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Written by: Andrew Merrell | Posted 14 September 2017 7:40

SuperGroup to share success of Superdry with £30m cash pay out for staff

Success is double edged sword. You chase it, get your hands on it and reap the financial benefits and then everyone accuses you of being rich. You can’t win. Or can you?

Multimillionaire owners of Cheltenham-based fashion house SuperGroup – the firm behind the Superdry label – have decided to spread the rewards about a bit by launching a share scheme for their 4,500 employees.

In Gloucestershire that amounts to about 350 staff who along with colleagues stand to benefit to the tune of a fifth of the listed company’s share price gains – which could amount to in the region of £30m being split between them.

According to reports Julian Dunkerton and James Holder, the founders of the now world-wide success story, have said they will share the firm’s share price gains with staff when the stock prices reaches an £18-per-share target.

If this is achieved the pair told the Annual General Meeting of the firm yesterday they would transfer 20 per cent to the new staff scheme.

Mr Dunkerton, who as legend has it started the business on a market stall with a grant from the Prince’s Trust, told the Guardian newspaper: “James and I passionately believe that the success of the Superdry brand is down to the combined work of all our people.

“As the founders of the business we remain significance investors and it is important to us that we share our ongoing success with all colleagues.”

What this means is that if shares rise £5 above the £18-per-share target staff would share the £30m bonus as follows.

SuperGroup’s 2,600 full-time shop staff and junior head office staff would pocket a £2,000 bonus, store managers between £28,000 and £75,000 and its executive team a cool £300,000 apiece.

Part time staff are also expected to be included on a pro-rata basis.

How far are staff off the magic windfall? On Tuesday shares were changing hands at £15.70. When the firm floated on the Stock Market back in 2010 they were valued at £5.

When we said Mr Dunkerton was wealthy, everything is relative, of course. The Sunday Times had the Gloucestershire resident ranked at 432 in its list of the UK’s richest with a fortune of £366million.

As he alluded to above, he continues to hold 26.7 per cent of the SuperGroup shares.

It was widely reported he offloaded some £53 million worth of his own shares last year to pay for his divorce.

Mr Holder holds 10.6 per cent of the company’s shares.

 

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