Better Collective unveils $12m Action Network share incentive plan

Better Collective has instigated a new three-year management incentive plan (MIP) to drive growth across the US-facing Action Network business it acquired in May.

The MIP provides rewards to staff and certain key employees at Action Network in the form of performance share units and share options. The rewards form the second pillar of the record $240m acquisition payment.

The scheme aims to retain key employees and reward management while also creating broader alignment between the objectives and interests of Action Network and the wider Better Collective business.

“Better Collective’s management and board has found it important to install a new MIP following the acquisition as the MIP replaces prior incentive programmes that lapsed in connection with the recent acquisition of Action Network,” Better Collective said in a statement.

The three-year programme is valued at $12m based on the maximum level of strategic targets being achieved, with key performance indicators including but not limited to both revenue and EBITDA targets.

The MIP covers a grant of 473,563 performance share units and 201,238 share options to 20 employees in total.

When the programme ends after the three-year period, Action Network participants will be included in Better Collective’s broader long-term incentive programme.

Action Network operates as part of Better Collective’s wider US portfolio, which also includes VegasInsider and Scores and Odds.

It operates as a separate business. Its brands, management team and 100-strong workforce are all led by Action Network CEO Patrick Keane, who reports into Better Collective US chief Marc Pedersen.

However, some parts of the Action Network business have been outsourced to the wider Better Collective business on efficiency grounds.

The Copenhagen-based affiliate hopes the addition of Action Network will help to grow its US market revenue to more than $100m by 2022.