The Challenge : With an IPO pending, advice was sought from Egan Associates on the remuneration structure appropriate to attract suitably experienced non-executive directors.

The new board was expected to incorporate directors with a range of experience and backgrounds, including expertise in capital markets, financial, legal, operational and other fields of endeavour to provide an appropriate diversity of expertise and knowledge.  It was anticipated that directors would reflect the expertise of Australia’s top 50 companies, with directors having familiarity with the regulatory environment and competition law applicable to the new organisation.

A specific requirement was for an IPO or Listing Committee for the year leading up to listing on the ASX.  Meeting on a frequent basis, its role was to oversee and advise senior management on the preparation of the prospectus and associated matters, and the marketing of the public offering to capital markets, institutions and retail investors. 

Egan Associates provided a remuneration structure that facilitated the appointment of new directors and provided advice on alternate structures reflecting different strategic approaches to committee composition and director roles. We articulated the different approaches that could be taken to remunerating the Listing Committee who were actively engaged in the next phase of development of the newly created corporation.

Outcome : The organisation was able to attract appropriately diverse and experienced directors for its IPO.