According to a report in The Times this morning, Meyer could also be entitled to receive a pension of $48m (£26.4m). The 77-year-old, who has run Grey since 1970, owns a share in Grey that is worth an estimated $250m.
Last month, the company, owner of the Grey advertising network, media agency MediaCom and the public relations networks GCI Group and APCO, revealed that it had appointed advisers to look at its future, including a potential sale. However, it said it would not consider selling off its assets piecemeal.
WPP Group has said that it is interested in a sale, with the company's chief executive, Sir Martin Sorrell, revealing that his clients do not object to the deal.
WPP is likely to find itself in a battle with Havas should it proceed with a bid, after chairman and chief executive Alain de Pouzilhac said the French group was interested. Havas sees MediaCom as the star prize in such a deal, because a merger with its smaller media shop, the Media Planning Group, would make it the biggest media agency in the world.
Meyer's potentially expensive pay-off could be a factor if potential bidders move ahead with offers, influencing how much they are willing to stump up. So far, a price tag of around $1.2bn has been attached to Grey.
The $34m payout would be owed if Meyer lost his job after a buyout, which is almost certain to happen. He is also entitled to receive $100,000 every year for five years to cover expenses after the company is sold.
Spokespeople for Grey have consistently said that the possible sale is not linked to Meyer retiring.
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