Woolies AGM will tell a tale
Woolworths’ AGM will be an interesting one. Items of Business: 1. The Board will have to justify why they should keep their positions; 2. Will the Remuneration Report be adopted? And 3. The level of shareholder voting - will Australia's largest superannuation fund managers actively and actually vote at the AGM? The biggest road block for major funds in voting at the WOW AGM, is the level of WOW stock lending that has been undertaken in recent months. Today WOW has about 9.5% of its voting shares sold short and a fair slab of these shares have probably been lent by both the Industry Funds and other large funds with a fiduciary relationship with their clients. If the largest Australian Superannuation Funds are going to vote all of their shares at the WOW AGM (given that most of them adopt best practice corporate governance principles) then why is WOW stock not being covered and covered quickly? Surely they cannot vote shares they have lent? Or can they? (VIEW LINK)
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