Of the total 11, eight resolutions were voted in favour with a majority of 95% or above votes
By Rajesh Kurup,
Institutional investors disapproved a total of three resolutions since October 1, including that of Centum Electronics, with a whopping 100% majority, according to data compiled by proxy advisory firm Institutional Investor Advisory Services India (IiAS).
According to the data, Centum Electronics’ resolutions for its Restricted Stock Unit Plan 2021 (RSU 2021) were rejected by the entire votes cast.
RSU 2021 is an initiative to reward employees, while the company was also planning to extend the scheme to employees of its subsidiary companies. CarTrade Tech’s resolution to provide special rights to certain shareholders was the other resolution that was not in favour of the institutional investors. The institutional investors in the company rejected the proposal with 64.8% of the total votes polled, according to data collated for a seven-day period starting October 1.
Of the total 11, eight resolutions were voted in favour with a majority of 95% and above votes. CarTrade Tech’s four resolutions — all employee stock option plans — were voted in favour with a majority of 97.2% of the total institutional investors’ votes.
SRF’s resolution for bonus shares was approved by a 95.1% majority of votes, and another to alter the authorised share capital of the company was also favoured with 100% of votes cast.
Two resolutions of Repro India — preferential shares and issue of warrants — were also favoured by a whopping 100% of the votes polled by institutional investors.
However, all the 11 resolutions were approved based on the promoters’ shareholding in the company. According to law, 50% of the total voting is required for ordinary resolutions to sail through and that for special resolutions is 75%.
For the previous week ended October 1, institutional investors — financial institutions, mutual funds, venture capital firms and insurance companies among others — had disapproved a total of nine resolutions.