Ocado could face another shareholder revolt at its annual general meeting this month over a new pay scheme which could award CEO Tim Steiner a bonus of up to £15m.

Two advisory groups are understood to have called on shareholders to vote against the new pay policy and share awards over concerns of “excessive pay”.

The online grocery tech firm, which is the co-owner of online supermarket Ocado Retail, is looking to make the changes to its remuneration package as its current scheme draws to a close this year.

If Ocado’s share price hits £29.69 in three years’ time and it upgrades its cash flow, Steiner could be awarded a share of around £14.8m from 2027 – 1,800% of his £824,570 base salary-  the Financial Times reported.

Ocado’s shares currently trade below £4.

Subscribe to Grocery Gazette for free

Sign up here to get the latest grocery and food news each morning

Glass Lewis told the publication that it was “sceptical about the ‘enhanced multiplier’” related to Steiner’s incentive scheme for the year, adding that it is “an award level in excess of peers,” while Institutional Shareholder Services said it has “material concerns” over the new pay structure.

However, in Ocado’s most recent annual report, its board said it was aware of Steiner’s “unique position as a founder and his long-term focus and strategic vision”.

Last year, Steiner was paid almost £2m, however nearly a third of Ocado shareholders voted against the remuneration packet at its annual general meeting on 1 May 2023 at a time when the firm’s share price fell 45%.

It comes as chairman Rick Haythornthwaite is to step down next year after prioritising his “increasing commitment” as group chair to banking group NatWest.