29th Sep 2021 10:38
(Alliance News) - Foxtons Group PLC on Wednesday said it has sought to understand why certain shareholders voted against its director pay policy at its most recent annual general meeting.
The London-based estate agency chain noted its 2020 remuneration policy, and Resolution 6, the reappointment of Alan Giles, the chair of the remuneration committee, were approved by 61% and 67% of shareholders, respectively.
"The committee has consulted with its larger shareholders to understand their views. The performance of the business in 2020 met the conditions set out in the remuneration framework for the payment of bonuses but, considering the circumstances, the committee exercised its discretion by reducing this award by 50%," Foxtons said.
Foxtons, however, said it was "clear" a "significant proportion" of shareholders expressed frustration at the company paying director bonuses after taking government support.
Foxtons continued: "The policy, which itself was approved by 79% of voting shareholders at the 2020 AGM, was designed to better align executives reward with shareholders' interests. The remuneration committee acknowledges shareholders' concerns around the implementation of the policy in 2020, however believes the decisions were appropriate and in the long term interests of stakeholders."
The real estate firm continues to believe the policy "is the best structure to drive long-term shareholder value," but plans to review the policy.
Shares in Foxtons were 1.2% higher in London on Wednesday at 51.60 pence each.
By Paul McGowan; [email protected]
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