SoftBank COO Marcelo Claure to step down after dispute over compensation -source -Breaking
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© Reuters. Marcelo Claure, Sprint’s Chief Executive Officer, leaves a Manhattan Federal Court hearing during the T-Mobile/Sprint Federal Case in New York City. New York, NY, U.S.A, January 15, 2020. REUTERS/Lucas JacksonBy Greg Roumeliotis
(Reuters] – SoftBank Group Corp Chief Operative Officer Marcelo Claure, a former employee, is currently in negotiations to leave the Japanese conglomerate. This follows a disagreement with Masayoshi Son about his salary, according to a source familiar with the matter.
According to a source, Claure’s resignation is likely to be announced in Tokyo Friday morning. The source requested anonymity because the conversations are confidential.
At SoftBank International, Claure’s deputy Michel Combes is expected to take over his duties, the source said.
Claure is already the Japanese tech giant’s highest-paid executive after earning $17 million in 2020. Claure has been talking to SoftBank about leaving for months. Reports suggest that Claure may launch his own investment business.
Japanese investors are generally against large payments to the top of management at companies that are publicly traded. This is why compensation for executives at Japanese companies has a cap.
Claure has been working for SoftBank for several years to clean up some of the most egregious investments, such as Sprint wireless carrier and WeWork office-sharing. SoftBank CEO Masayoshi Son, however, was hoping to compensate him with a lower sum.
Son and Claure had been discussing a structure that would allow Claure to get paid more than his present pay packages. But he didn’t commit to it in writing. The result was a conflict with Claure, which led to Claure’s impending resignation.
SoftBank and Claure didn’t immediately reply to Reuters inquiries for comment.
Claure’s imminent departure would be the latest in a series of high-ranking departures at SoftBank. Nikesh Arora (NASDAQ:), a former executive at Google (NASDAQ) joined SoftBank to succeed Son in 2014. He left SoftBank after Son made the decision to run SoftBank again in 2016.
Alok Sama (another top Son lieutenant) left 2019 Jeff Housenbold, who led many of the Vision Fund’s successful investments, left last year. SoftBank was also left by Housenbold as a compensation.
Bolivian-born billionaire Claure rose up the ranks of SoftBank following the 2014 acquisition of Brightstar by the Japanese conglomerate. He went on to be the boss at Sprint, which eventually merged into T-Mobile.
Claure launched SoftBank’s first Latin American $5 billion fund in 2019 in a moment when there was no large-spending investor.
He is also the Bolivian Football Team Club Bolivar’s executive Chairman and serves as WeWork’s Executive Chairman.
CNBC first reported the news Thursday morning.
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