BROKER Cenkos has given every worker a slice of its revenues from the AA initial public offering (IPO), it emerged yesterday.
The firm is well known for paying staff relatively low base salaries, but large bonuses when big deals come in.
The AA flotation won Cenkos £31.5m – almost half of the firm’s £65.2m revenues in the first six months of 2014. And it represents the majority of the £54m of revenues from IPOs and corporate finance work.
It is paying all 120 staff a one-off £40,000 bonus in recognition of the deal, in a giveaway totalling £4.8m.
That means Cenkos still retains £26.7m to cover its costs, pay dividends, give out normal salaries – and pay bonuses to those staff who actually worked on the AA deal, advising it and selling the shares on to investors.
Those bankers will still get recognition in the annual bonus round which takes into account the deals they personally worked on over the year, and the revenues raised for the company.