By Rajesh Kurup
Institutional investors voted against six resolutions, including those of Jai Corp, and fully supported three others during the seven-day period starting November 20. Of the six resolutions, the institutional shareholders almost wholly voted against four resolutions. They favoured 16 resolutions, according to data compiled by proxy advisory firm Institutional Investor Advisory Services India (IiAS).
Jai Corp’s two resolutions — rollover of outstanding preference shares for two years and appointment of director — were voted against with a whopping 99.96% of the total votes cast. Another two resolutions of the Mumbai-headquartered firm — adoption of financial statements and approval of dividend on preferential shares — were voted against with 98.30% of the votes, it said.
Welspun Corp’s resolution to hike inter-corporate transaction limit to Rs 5,000 crore from Rs 3,300 crore was voted against with 53.52% of the votes. Another resolution to approve remuneration of managing director and chief executive officer Vipul Mathur was voted against with 49.96% of the total institutional shareholders’ votes. Despite the dissent, resolutions of both companies were approved.
Jai Corp’s resolutions to provide remuneration to the auditor, reappoint a non-independent director and final dividend on equity shares were approved with 100% of the votes. Same was the case of Welspun Corp’s resolution to approve changes to its memorandum of association.
Resolutions of Heritage Foods, Aarti Industries and Aarti Drugs to appoint independent directors were favoured with all the votes cast by institutional investors. Similarly, Gillette India’s resolution to adopt financial statements was also favoured with the all the votes polled.
During the week under review, Indian Energy Exchange’s two resolutions (to alter authorised share capital and issuance of bonus shares) were approved with 97.54% and 97.82% votes, respectively. IRB Infrastructure Developers’ resolution to issue preferential shares totalling Rs 5,347 crore (to Cintra INR Investments BV and Bricklayers Investment) was approved by 80.44% of institutional investors’ votes.
Gillette India’s resolution to appoint a non-independent director was favoured with 75.03% of votes and another to appoint Srinivas Maruthi Patnam as executive director with 78.07% of votes.
During the comparable previous week, institutional investors voted against one resolution of Elpro International with a whopping 100% of votes, while 22 resolutions were approved.