Grindrod Shipping Holdings Ltd. (NASDAQ: GRIN, JSE: GSH) announced results from its extraordinary general meeting (EGM). Shareholders approved the selective capital reduction (SCR) proposal.
Overview of the EGM
Meeting Details
The EGM took place on June 20, 2024, at 18:00 Singapore Standard Time. Shareholders attended virtually or by proxy. The meeting aimed to discuss the selective capital reduction of the company under Section 78G of the Companies Act 1967 of Singapore.
Shareholder Participation
As of the EGM record date, May 10, 2024, the company had 19,685,590 ordinary shares issued. At the EGM, 1,504,373 shares, or approximately 46.067% of shares entitled to vote, were present. Good Falkirk (MI) Limited and its concert parties, holding 16,419,947 shares, abstained from voting.
Details of the Selective Capital Reduction Proposal
Proposal Breakdown
The proposal sought approval to reduce the company’s issued share capital from $290,193,001 to $240,614,044. This would involve canceling 3,479,225 shares held by participating shareholders.
Financial Implications
The reduction amount of $49,578,956 will be returned to participating shareholders in cash. Each canceled share would receive $14.25.
Table 1: Selective Capital Reduction Details
Description | Amount |
---|---|
Original Share Capital | $290,193,001 |
Reduced Share Capital | $240,614,044 |
Shares Canceled | 3,479,225 |
Cash Returned per Canceled Share | $14.25 |
Total Reduction Amount | $49,578,956 |
EGM Voting Results
Voting Outcome
The SCR proposal received approval from the majority of voting shareholders. Details of the votes are as follows:
Table 2: Voting Results
Vote Type | Number of Shares | Percentage |
---|---|---|
For | 1,434,605 | 95.714% |
Against | 64,241 | 4.286% |
Abstentions | 5,527 | 0.367% |
Abstentions counted towards the quorum but did not affect the vote percentages for or against the proposal.
High Court Approval
The company will seek approval from the High Court of the Republic of Singapore to finalize the selective capital reduction.