Morgan Jones and Ian Watson, the joint chief executives of investment property group Ashtenne Holdings, will each walk away with about £10 million following an agreed bid from Warner Estates Holdings.
The pair, who founded Ashtenne in 1989, each hold equal amounts of equity in the company and have irrevocably agreed to accept Warner's bid terms which value each ordinary share at 470p and the whole group at about £170 million. The company has property valued at about £750 million under investment.
Together they own about 4.4 million shares and options in Ashtenne, or about 11 per cent of the company.
While Mr Jones and Mr Watson will stay for "a transitionary period" to ensure a smooth handover, they will not be staying as part of the enlarged Warner management team.
As a result, they are also likely to get pay-offs based on their one-year rolling contracts of employment.
The last set of accounts from Ashtenne show that the pair were each paid £478,000 in 2003, including a £230,000 bonus.
Ashtenne, which last July sold its Birmingham-based indoor markets operator Inshops for £16.5 million, yesterday declared a record annual pre-tax profit of £73.9 million, a rise of 132 per cent over 2003.
The deal will make Warner, whose portfolio includes the famous Cavern Club in Liverpool, Britain's biggest industrial landlord.
Executive chairman Philip Warner said the terms of the offer for Ashtenne were "fair" and would allow the group to expand its asset management business.
" This is a great step forward for Warner Estates," said Mr Warner.
"Our total funds under management will increase from £1.1 billion to around £1.9 billion."
Warner is funding the takeover through new banking facilities provided by Anglo Irish Bank.
The takeover is being structured through a cash offer of 330p for each Ashtenne share, plus a 140p special dividend payment once the deal has been declared unconditional.
The terms represent a premium of 10.1per cent premium to Ashtenne's reported net asset value of 427p for the year to 31 December. The company was floated in 1997 at 125p a share.