I wrote about this issue before, one snippet:
"We notice three government linked funds in the list of substantial shareholders. Will they make noise about the above remuneration? At the last AGM that did not happen, all resolutions were approved by a large majority of the shareholders."
The largest vote against any of the resolutions was only 2%.
The company held its AGM on July 25, 2017, and the results are as follows:
Of interest are resolutions 8 (payments of director fees) and 10 (authorising the directors to issue new shares) which received 18% and 22% of the votes against, a very large change compared to the voting behaviour of a year before.
It is safe to assume that the controlling shareholders voted in favour of the resolutions, meaning that the percentage of votes against from the non-controlling shareholders is even higher.
Are these the signs of some shareholder activism which starts to pop up at Sapura Energy? I most certainly hope so.
The Edge Malaysia (edition August 7, 2017) brought up another issue regarding related party transactions. It wrote an article "A RM70 mil annual poser at Sapura", one snippet:
"It is not clear why the listed company has to pay this fee to its controlling shareholder, which has epresentatives on the board holding executive positions and are paid alaries and director fees."
The amount can be found in the annual report, second part, page 189 (pdf page 139):
Surely the minority shareholders of Sapura Energy deserve a proper explanation on the above transactions.
This annual payment of RM70mil has been happening for many years.ReplyDelete
What is SC doing?