2nd Dec 2019 15:55
(Alliance News) - Over 30% of Bovis Homes Group PLC's shareholders have rejected its long-term incentive plan and remuneration policy, it said Monday.
At Monday's general meeting, some 31% of voting shareholders did not approve the long-term incentive plan for 2020, and 35% rejected the remuneration policy.
All other resolutions were passed with overwhelming majorities, the housebuilder noted. This included a resolution to approve Bovis's takeover of the Linden Homes and Partnerships & Regeneration businesses of Galliford Try PLC.
The GBP1.1 billion deal was announced early in November, following a rejected attempt by Bovis to buy the two businesses in May.
"The board recognises a significant minority opposed resolutions three and four. The board has been engaging with shareholders and proxy agencies in the lead up to the general meeting and has a good understanding of the concerns of some of our shareholders," said Bovis.
"In line with the provisions of the UK Corporate Governance Code, we will continue to engage with those shareholders and will provide an update on the views received on these issues and actions taken in response no later than in six months' time."
Bovis, which is based in Kings Hill, Kent, said the Galliford deal is "transformational" and believes the proposed remuneration and long-term incentive policies are in line with both industry norms and with the new scale of complexity of the business.
Shares were 0.5% lower on Monday afternoon in London at a price of 1,219.00 pence each.
By George Collard; [email protected]
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