happiness ChikwanhaSteinhoff shareholders have voted against the adoption of the group’s annual financial statements for the 2019 financial year, as well as proposed amendments to the Stellenbosch-headquartered retailer’s remuneration policy for managing directors.
The Stellenbosch-headquartered retailer held a virtual Annual General Meeting last Friday, after it earlier in the day reported a 6 percent decline in group revenues in the first nine months of the 2020 financial year, largely due to Covid-19 related trading restrictions.
At the AGM, shareholders rejected three out of nine proposed agenda items.
51 percent of shareholders voted against adopting the annual accounts for the financial year ended 30 September 2019.
94 percent of shareholders voted against the proposal to cast an advisory vote in respect of the remuneration report for the same year.
86 percent of shareholders voted against proposed amendments to the remuneration policy for managing directors.
Chairperson of Steinhoff’s supervisory board, Moira Moses, said that although it is “disappointing” that three of the proposals were “unfortunately” not passed, the board respected the outcome.
Moses said the group will continue to review the remuneration policy and provide feedback.
“The negative vote on the adoption of the annual report is similarly noted. The CFO, the external auditor and the chair of the audit committee have all explained the complexities faced regarding the financial statements, much of the uncertainty will remain with us for a while,” she said.
In late 2017 Steinhoff was rocked by the abrupt resignation of its former CEO Markus Jooste at the start of a fraud scandal.
Once one of the largest firms on the JSE, its share price plunged by over 95 percent since Jooste resigned. — fin24.com.
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