I release this wire last Friday but have updated it with a few more two strike AGMs. You'll find the note at this (VIEW LINK) A number of the two-strike AGMs involve companies outside the S&P/ASX 300. A resolution that frequently appears on the AGM agenda for these entities is the ASX Listing Rule 7.1A resolution seeking an additional 10% placement capacity on top of the 15% placement capacity found in ASX Listing Rule 7.1. It's always worth the time to read through the boilerplate disclosures to get to the part where the company sets out the capital issues in the previous 12 months, how much was raised and what the capital raised was used for.
Useful info regarding Seek's remuneration, that's certainly not a good way to encourage management to build value in the company.
It's a nice example of how a formula in a share plan can create perverse incentives. The One.Performance.Right is issued to other executives as well as the MD/CEO. An issue for another day is why does the company need to give any further shares to an executive KMP who has a shareholding worth nearly $200 million? It's not about motivation or aligning interests: both of these already exist. This isn't just a problem at Seek but at a few of our large listed entities and the premise appears to be to treat these individuals as just another executive (so pay in the same way as any executive in that role) when clearly they aren't.
Thanks Kym, there's certainly some things for SEK shareholders such as myself to consider there.