4th Nov 2019 17:05
(Alliance News) - Arrow Global Group PLC on Monday said it continues to engage with its shareholders after an advisory resolution to approve its remuneration report was passed at its annual general meeting in June.
However, 27% of shareholders had opposed the resolution.
The company, which buys debt from banks, said it was "disappointed" with the level of support for the resolution, as it does not reflect the "historically high" levels of support shown by shareholders for its executive remuneration arrangements.
Therefore, Arrow Global Remuneration Committee chair and chair of the company are currently in the process of meeting with its largest institutional shareholders to understand their views and the reasons why they voted against the resolution.
On Monday, Arrow Global said it is currently aware of two reasons, the level of disclosure in relation to annual bonus out-turns and long-term incentive plan performance metrics and targets.
To address these issues, the company said it will ensure that it enhances the level of disclosure on annual bonus out-turns in relation to the 2019 annual bonus.
The company also said it will give careful consideration to the balance across the long-term incentive plan performance metrics for 2020 and provide a clear explanation of the rationale for the long-term incentive plan measures chosen.
Arrow Global said it will provide a further update on the shareholder engagement process and resulting actions in its annual report.
The stock closed 0.9% lower on Monday in London at 236.91 pence a share.
By Evelina Grecenko; [email protected]
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