Old Mutual is facing a shareholder rebellion after the group proposed a pay package for its chief executive equal to 1,000% of his base salary.
Some of the company's largest shareholders said they are considering a vote against the proposed maximum pay package for Bruce Hemphill, quoting its "unusual nature and size", according to the Financial Times.
The move, which is set to complete by the end of 2018, would see Hemphill's role as chief executive of the overall business redundant.
However, the group is proposing a base salary for the CEO of £900,000 for 2016, which means he could earn £9m as part of the long-term incentive plan over the three years the company will take to complete the separation.
The FT quotes one top 20 shareholder saying: "The pay framework proposed is unusual and large. A figure of 1,000% of base salary is very generous, particularly if the company is split up earlier than the 2018 deadline."
Another top 20 investor also said: "We need to look closely at the performance targets as the maximum payout is a lot. However, breaking up a company is a complicated thing to do and the CEO is out of a job at the end of it."
Both shareholders said they are still unsure about how they will vote on the proposals, with the vote set for 28 June.
The maximum payout of 1,000% of the salary depends on certain performance targets at the completion of the managed separation of the business, or by March 2020, depending on which comes first.
Old Mutual told the FT it had consulted half of its shareholders before proposing the pay package, saying the suggested sum reflected the "feedback received".
