by Christopher Freeburn | June 19, 2013 11:43 am
Smithfield Foods (SFD) shareholders won’t be the only ones reaping a financial windfall from the company’s buyout by China’s Shuanghui International.
Documents filed with the Securities and Exchange Commission reveal that under the deal with the Chinese firm, Smithfield’s CEO Larry Pope could wind up with as much as $46.6 million, including $28 million in cash payments. The firm’s CFO could qualify to receive payments of $22.8 million, Reuters notes.
According to the filings, Shuanghui International wasn’t the only company that bid to buy Smithfield. Two other unidentified bidders made offers, but Smithfield’s board ultimately agreed to the Chinese firm’s proposal.
Earlier this week, one of Smithfield’s largest shareholders, Starboard Value, said that the $4.7 billion deal with Shuanghui International undervalued the company and urged the board to break Smithfield up and sell its assets.
Shares of Smithfield rose slightly in Wednesday morning trading.
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