Z drops plan for virtual annual meetings after Shareholders' Association lobbying

Thursday 6th April 2017

Z Energy has reversed its decision to dump physical annual meetings in favour of cheaper virtual ones and will instead hold a hybrid of the two after lobbying from the New Zealand Shareholders' Association.

Wellington-based Z had planned to hold a virtual-only meeting this year blaming the lack of interest from its shareholders, causing the NZSA to accuse the transport fuels company of being out of step with other firms who were holding hybrids. In a letter to NZSA chairman John Hawkins and chief executive Michael Midgley, Z chair Peter Griffiths said the company had taken the investor lobby's views on board and will hold its June meeting at its Wellington office, letting shareholders participate online but also allowing attendance in person.

NZSA chief Midgley said he welcomed the move which would let Z shareholders engage and vote in a way they were comfortable with.

"This outcome was a clear example of how shareholders needed to make their opinions heard if they were to maintain effective oversight of their investments," Midgley said.

Last year Spark New Zealand shareholders rejected the telecommunications company's proposal to hold virtual meetings as attendance dwindled in recent years. Z and Spark are the only two companies that have toyed with holding virtual-only meetings.

Z shares last traded at $7.20 and have declined 0.8 percent so far this year.

(BusinessDesk)

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