An Analysis of Shareholder Resolutions Involving Australian Listed Companies from 2004 to 2013
Company and Securities Law Journal, Vol. 34, No.8, pp. 618-624, 2016
7 Pages Posted: 21 Nov 2016
Date Written: November 20, 2016
The authors analyse resolutions proposed by shareholders of Australian companies listed on the Australian Securities Exchange for the 10 year period from 2004 to 2013. They investigate the number of shareholder resolutions over time, the subject matter of the resolutions, whether the resolutions were supported by management, the number of resolutions at extraordinary and annual general meetings, and some of the characteristics of companies that were the subject of many of the resolutions.
Key findings include:
(a) an increase in resolutions during the global financial crisis;
(b) management recommended against 81 per cent of the shareholder resolutions;
(c) 92 per cent of the resolutions concerned the election or removal of directors;
(d) 71 per cent of the resolutions were proposed for consideration at extraordinay general meetings and not annual general meetings; and
(e) a very small number of companies (23) were responsible for 37 per cent of all shareholder resolutions and these companies tended to be small capitalisation companies and the majority of the resolutions involving these companies occurred in 2008–2009.
Keywords: shareholder resolutions; governance
Suggested Citation: Suggested Citation