Michael Rapino has signed a five-year contract extension to remain the chief executive of Live Nation.
According to Hollywood Reporter, Rapino’s salary will remain unchanged at $3m per year. However, the annual target cash bonus, based on certain metrics, has leapt from $6m to $17m per year. From 2023, he will also be eligible for an annual grant of restricted shares valued at no less than $10m.
He has also received a one-off $6m signing bonus.
The Live Nation board approved the new contract unanimously, with Rapino abstaining from the vote.
Rapino joined Live Nation in 2005 and steered the company’s merger with Ticketmaster in 2009.
Live Nation generated revenue of $1.8bn in the first quarter of this year, a sharp rise from $290m a year earlier, reflecting a surge of pent-up demand after the impact of Covid-19 on live events.
“Rapino successfully steered Live Nation through two years of pandemic shutdown, emerging better positioned than ever and on pace for a record year in 2022 with over 100 million fans across 45 countries,” the company said in a statement.
“Similar to past contracts, 90% of Rapino’s total compensation is tied to continued growth and delivery of shareholder value. Live Nation has a long track record of delivering value for both artists and shareholders – in the last 10 years Live Nation has invested over $45bn to pay artists and promote their shows, and the company’s stock posted an annual average return of 25%, more than doubling the return of the S&P 500.”
Image: Yvette de Wit on Unsplash
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