Proxy access allows shareholders who meet certain ownership thresholds to nominate directors to the boards of their investee companies. Simply put, it allows their nominees to appear next to management’s nominees on the same ballot. It is a two-step process called proxy access by private ordering. Over the past two proxy seasons, there has been a bigger focus on proxy access as some shareholders have used it to drive shareholder engagement with the board.
Fifty companies reach proxy access bylaw agreements
This edition of our biweekly newsletter reports that 50 companies have reached proxy access bylaw agreements with the Boardroom Accountability Project.
Shareholder questions for 2016 annual meetings
What is the company’s position on proxy access and has it established a process for addressing such a shareholder request? This is one of the questions management should expect.