Ryanair has agreed a six-year contract extension with chief executive Michael O’Leary, keeping the veteran boss in his role until April 2032.
The Dublin-based budget carrier confirmed the deal following “months of discussion with Michael O’Leary and extensive engagement with the group’s largest shareholders.”
Under the new contract, O’Leary will receive a one-off purchase option over 10 million shares at a strike price of 26.70 euros each, the trading level before the Iran war.
That option can only be exercised if the share price exceeds 42 euros for 28 consecutive days, representing a significant premium to current trading levels.
O’Leary is also eligible for the share package if the group’s annual net profit grows to over 4 billion euros, a target the company itself describes as “very ambitious.”
If both performance conditions are met, O’Leary would be entitled to shares worth approximately 153 million euros, making it one of the most significant executive pay arrangements in European aviation.
The contract will also include a “modest annual salary and a capped annual bonus,” details of which will be put to shareholders for an advisory vote at the group’s annual general meeting later this year.
Ryanair chairman Stan McCarthy said he is “pleased to report” that O’Leary has agreed to extending his leadership “for the benefit of all shareholders.”
The extension means O’Leary, one of Ireland’s wealthiest businessmen, will continue to head the group well into his 70s, having led the airline for more than 30 years.
He has built a reputation for courting controversy throughout his tenure, most recently clashing publicly with Elon Musk, calling X a “cesspit” after Musk branded O’Leary an “idiot” for refusing to install Starlink technology on Ryanair planes.
Musk also floated the idea of buying the airline during what became one of the year’s most prominent corporate spats.
O’Leary is currently Ryanair’s sixth-largest shareholder, with corporate filings showing he holds more than 40 million shares worth a combined one billion pounds.