Equity Group Announces Structural Changes

Equity Group Announces Structural Changes

Equity Group Holdings Plc shareholders during its Seventeenth Annual General Meeting, passed resolutions to make adjustments to its board and management that are hoped to reinforce the governance structure of the Group.

The Shareholders voted for the Amendment of Articles 1 and 79 of the Articles of Association of the Company.

The Group Board Chairman Prof Isaac Macharia said, after the meeting that the changes were meant to ensure that the Board is reinforced through diversified representation for effective oversight.

“In so doing, the shareholders have passed a resolution enabling shareholders with more than 12.5% shareholding to participate directly by having a seat, provided the total number of Directors so nominated for appointment by shareholders shall not exceed four Directors.”

The Chairman further added, “The shareholders have also resolved to have a Board seat for the Equity Group Foundation demonstrating the importance of the Foundation in the overall growth and development the Group’s twin engine business model. At the same time, the shareholders resolved to have up to three Executive Director’s sitting on the Board.”

Professor Macharia expressed confidence in the resolutions saying that they reflected strong confidence and optimism by the shareholders over the Board and management in the governance, oversight, and management of the Group. By diversifying the representation, the Board has strengthened its oversight capacity while the inclusion of up to three executive directors creates an environment of diverse accountability with the management which enhances governance and oversight.

The shareholders also passed the dividend policy which states that the Board should target to distribute between 30% to 50% of its profit after tax as a dividend pay-out beginning from the current financial year ending on 31st December 2021.

Stay in the Know!

Sign up for the latest news and information on African Companies and Economy.

By signing up, you agree to receive MoneyInAfrica offers, promotions and other commercial messages. You may unsubscribe at any time.

Leave a Reply