Fidelity bank banner Bayelsa State banner
Shoprite shareholders reject pay policy

By Ann Crotty on 03/11/2017

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 708


A hefty 65% of Shoprite’s “outside shareholders” voted against the group’s remuneration policy at the 2017 annual general meeting, but not all of them want to participate in next week’s unprecedented teleconference called to discuss their concerns.

Mehluli Ncube, representing the Sentinel pension fund, described the invitation to participate in the teleconference as a little hostile. Ncube, who attended the annual general meeting on Monday to express his concerns about the remuneration policy, said the teleconference was in line with the new JSE requirements, which oblige companies to engage with shareholders if more than 25% of them votes against the remuneration policy.

The obligation is in line with the King IV recommendation, which also requires Shoprite to disclose with whom it engaged, the manner and form of engagement and the reasons for the dissenting votes. Shoprite should also disclose the steps taken to address “legitimate and reasonable objections”.

At Monday’s meeting, almost 30% of the shareholders voted against the remuneration policy — this was in line with the voting pattern of the previous three years. However, if the ordinary and deferred shares held by controlling shareholder chairman Christo Wiese are excluded, the level of opposition shoots up to 65%.

In financial 2016, 66% of “outside shareholders” voted against the remuneration policy. Ncube said they had consistently voted against the remuneration policy in the past because they felt the package awarded to the previous CEO, Whitey Basson, was out of line.

Ncube said that the teleconference was a new development, but the company had engaged with them after past annual general meetings. “Previously, the investor relations people engaged with us on an individual basis and that was quite constructive. I’m not sure how well the teleconference will work,” he said.

One analyst, who did not want to be named, said that the vote against the remuneration policy had increased in 2017, although the policy had actually improved “if you compare the new CEOs incentives with Whitey Basson’s package”.

“Outside shareholders” may have been concerned by the R50m paid to Basson in 2017, although he had played an executive role for only six months of the year. A footnote in the annual report says that Basson, who gave notice of his retirement on September 30 2016, had an agreed notice period of 12 months. “He therefore receives guaranteed pay until 30 September 2017”.

However a Sens announcement released on October 31 2016 said that Basson was retiring at the end of December 2016 and would remain as nonexecutive vice-chairman.

On Monday, Shoprite announced that Basson, who has driven the group’s growth for 45 years, had retired from the board on October 25.

Text courtesy of Business Day SA

 

Source News Express

Posted 03/11/2017 12:18:53 PM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

REVEALED: 3 natural ways to get stronger erections, last 25 minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

 

You may also like...
How they loot Imo: Insider releases details of...

Nollywood: N3 BILLION PRESIDENTIAL INTERVENTION FINALLY KICKS OFF...

Stakeholders express worry over pirates on Nigerian waters...

It’s time to let Biafra people go, By...

Sweet vengeance: Arsenal bundle Liverpool out of FA...

BREAKING NEWS: 6,199 soldiers get special promotion •Ordered...

Spain buys €6.5bn oil from Nigeria

EDUCATION NOW COMPULSORY for school-age children IN DELTA...

Exodus of customers looms over MTN

Economic Recession: Melaye demands sacking of Economic Team,...

Allegations of missing N24 Billion Pension funds false...

Shinkafi’s death a monumental loss to Nigeria: Saraki,...

 

Latest News BREAKING NEWS: DSS arrests Senator Abaribe over Nnamdi Kanu APC Chairmanship: Oshiomhole clears final hurdle as last challenger throws in the towel IGP resigns over bloody protests 2018 Budget: How allocation to Enugu Airport was cut – Ekweremadu Law school clears Hijab wearing lawyer We are poised for revolution — Agbakoba’s NIM, ANN Bring information on Boko Haram bomb factory, get N5m reward — Army 2018 Budget: Buhari’s supporter calls on Shekau to bomb National Assembly National Convention: Okorocha should accept his fate or APC – Uwajumogu N14.1m Fraud: Court dismisses Ex-Perm Sec Clement Onubuogo’s no-case submission Flooding: Oyo Govt. to dredge 64 rivers in Ibadan Jonathan’s kinsmen back Bayelsa public service reforms; demand prosecution of job racketeers, others

 

Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (352,450 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (351,902 views) Shameless Genevieve Nnaji exposes breasts in public (280,391 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (230,243 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (209,155 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (208,890 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (181,916 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (164,018 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (153,977 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (148,714 views) Lagos plane crash: Journalist releases victims’ names (143,921 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (135,729 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (50) Business & Economy (3,262) Business Verdict (44) Columnists (871) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (505) Features (607) Global Business Monitor (283) International (2,046) Interview (155) Live Commentary (28) Love Matters (124) News (36,399) Opinion (1,005) Pidgin (10) Politics (5,302) Religion (771) Sports (1,555) Stock Watch (30) AMA & Al Jazeera Global Update

 

CBN banner

Firstmobile banner

 

 

NEWS EXPRESS TV

Argentina vs Croatia Goals

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement