Tim Cook to receive up to a million Apple shares by 2025

Apple chief executive Tim Cook has been granted his largest stock award in over nine years.

The iPhone-maker boss could receive up to 1 million shares in Apple by 2025 if the company continues to perform strongly.

Mr Cook will receive 333,987 units of restricted stocks that will vest in thirds on an annualised basis starting in 2023, according to an SEC filing.

The package could be worth anywhere from $76m (£60m) to $114m depending on Apple’s share performance at the time. The award is based on relative share performance over the next three years and is set up in a way that could mean the Apple boss gets none of the award or 200pc of it depending on the stock returns.

Should Mr Cook max out the award he would receive a similar amount to the 1 million shares he was granted shortly after he became CEO in 2011. Shares in Apple stood at $114.09 at close of trading on Tuesday.

Mr Cook was named Apple chief executive in August 2011, following the death of his predecessor and co-founder Steve Jobs.

Since taking over, Apple’s share price has increased by 746pc as Mr Cook created various new lines of revenue for the business. He oversaw the creation of the hugely successful Apple Watch and AirPod categories as well as pivoted the business towards a more services orientated approach.

“Tim has brought unparalleled innovation and focus to his role as chief executive and demonstrated what it means to lead with values and integrity,” Apple’s board of directors said in a statement.

“For the first time in nearly a decade, we are awarding Tim a new stock grant that will vest over time in recognition of his outstanding leadership and with great optimism for Apple’s future as he carries these efforts forward.”

Mr Cook’s regular remuneration is multifaceted and made up of a salary, stock options, and a bonus. Throughout 2019, he was paid a $3m salary with a further $7.67m bonus. But when his stock options were added in Mr Cook’s total pay for the year was the equivalent of $125m.

Mr Cook became a billionaire earlier this year after Apple became the world’s first $2 trillion company. In 2015, he committed to giving away all of his fortune before he died.