Remgro CEO salary: From R16.1 million to R42 million when the share price declined
The Remgro chief executive’s salary increased by 161% during a period when the company’s share price declined.
Remgro’s executive compensation has faced criticism in recent years, particularly regarding the implementation of its pay policy.
Many shareholders argued that Remgro’s executive rewards did not align with their interests, especially with the wide discount to Intrinsic Net Asset Value (INAV).
During Remgro’s Annual General Meeting (AGM) on 28 November 2024, ordinary shareholders showed their unhappiness during the voting process.
34% of ordinary shareholders voted against the implementation report, forcing Remgro to address the issue to comply with King IV and the JSE’s Listings Requirements.
It updated its pay philosophy and policy, which includes the introduction of performance-based long-term incentive (LTI) plans.
These included introducing total shareholder return and headline earnings per share metrics as LTI performance measures.
Another thing Remgro addressed is the persistent discount of its share price relative to the INAV of its holdings.
The executive compensation structure was completely overhauled to sharpen the focus on profitability and shareholder value.
These adjustments, along with better communication from the company, addressed many of the shareholders’ concerns.
During the Remgro AGM on 27 November 2025, the remuneration policy received 89.26% support, and the implementation report received 88.66% support.
Remgro’s remuneration and nomination committee said that it was confident that its remuneration policy achieved its stated objectives in the 2025 financial year.
“We constantly strive to improve the company’s remuneration practices, and we look forward to our engagement with our shareholders,” it said.
CEO salary versus share price growth
To illustrate why many Remgro shareholders were unhappy with executive remuneration, it is instructive to examine share price performance and CEO pay.
Jannie Durand was appointed as Remgro’s new chief executive in May 2012 and serves on the boards of various investee companies.
In 2013, his first full financial year as Remgro CEO, he received fixed pay of R9 million and an LTI payment of R7.1 million. This amounted to R16.07 million.
The closing share price on 30 June 2013 was R189.95, and the share price was on an upward trajectory. This was, therefore, good news for shareholders.
In 2025, he received a fixed pay of R18.73 million and a long-term incentive payment of R23.2 million, bringing his total pay package to R41.93 million.
The closing share price at 30 June 2025 was R158.20, significantly lower than the average share price in the 2013 financial year.
This means that Remgro’s chief executive’s salary increased by 161% during a period when the share price declined.
Although one would expect the basic salary to increase, the same cannot be said for long-term executive incentives.
Many shareholders would want executive incentives to align with their interests, which include share price movements and dividends.
It leaves a bad taste in the mouth when executives receive record pay packages when shareholders don’t see any benefits.
It is, therefore, not surprising that Remgro adapted its executive remuneration policy to focus on profitability and shareholder value.
Remgro share price
Remgro CEO salary
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