DGAP-News: Balda AG / Key word(s): AGM/EGM
Balda AG: Planned assumption of power by shareholder elector is
meeting with widespread criticism and rejection
03.07.2013 / 10:19
– Private investor protection organizations SdK and DSW and institutional
shareholder service providers ISS and IVOX reject complete replacement
of the Supervisory Board with Elector candidates.
– Numerous individual investors are also against the shareholder’s
proposals to the extraordinary General Meeting.
– The Management Board and Supervisory Board repeat the call to
shareholders to exercise their voting rights.
Bad Oeynhausen, 3 July 2013 – The attempt by Balda shareholder Elector
GmbH, Berlin, to fill the three seats on the company’s Supervisory Board
completely with its own candidates at an extraordinary General Meeting on
18 July 2013 is meeting with widespread criticism and rejection among
investor representatives and many other shareholders of the company.
Four organizations representing shareholders have voted to reject the
complete restaffing of the supervisory body. Criticism is leveled
especially at the lack of clarity about the strategic intentions and plans
of the shareholder, which holds 29.9% of Balda AG’s share capital,
according to the shareholder’s own information.
In addition, the company has since received instructions from more than 100
Balda shareholders rejecting Elector GmbH’s plan.
As of now, the following votes have been received from specific investor
representatives and shareholder service providers:
– Investor service provider IVOX rejects all of the resolutions proposed
by Elector on the agenda. The shareholder’s plan ‘is in no way
compatible with (.) good corporate governance’ and ‘cannot be in the
interests of all shareholders’. ‘At the moment, there is no reason to
change the current composition of the Supervisory Board,’ continued
IVOX. In contrast, Elector appears ‘to be pursuing its own interests
exclusively,’ although the shareholder has not yet revealed these
– The internationally active, US-based investment decision advisor ISS
argues that it cannot support Elector’s attempt to gain control over
the Supervisory Board, particularly because the strategic intentions of
Elector are not known. ISS is therefore in favor of supporting election
of only one of the three Elector candidates.
– Schutzgemeinschaft der Kapitalanleger e.V. (SdK) has announced that it
will vote against all of Elector GmbH’s proposed resolutions. SdK also
criticizes the fact that Elector has not answered questions regarding
its desired strategic direction for the Balda Group. It fears ‘that
particularly Balda AG’s considerable resources resulting from the sale
of the shares of TPK, Taiwan, may be earmarked for different future
activities.’ In view of the business activities to date of the Managing
Director of Elector GmbH, Dr. Thomas van Aubel, it can be assumed ‘that
a realignment of Balda AG focusing on the solar industry and renewable
energies is the aim,’ stated SdK further.
– Deutsche Schutzvereinigung für Wertpapierbesitz e.V. (DSW) considers
‘appropriate representation’ of the shareholder on the Supervisory
Board to be legitimate. The complete replacement of the board with its
own candidates, however, is ‘not appropriate’.
A few days ago, Balda AG set up an online tool on its website that
shareholders can use to simply and easily exercise their voting rights
without having to travel to Berlin, the site of the extraordinary General
The Management and Supervisory Boards of Balda AG repeat their call to
shareholders to exercise their voting rights or issue corresponding voting
instructions. Since the core issue at the extraordinary General Meeting is
the fundamental future direction of the Balda Group, they believe it would
be desirable to have as many shareholders as possible participating in the
For more information, see www.balda-group.com..
Frank Elsner Kommunikation für Unternehmen GmbH
Tel.: +49 – 54 04 – 91 92 0
Fax: +49 – 54 04 – 91 92 29
Balda is a provider of first-class solutions for demanding, high-quality
applications in the fields of medical technology, optics, the automotive
industry and other specialist industrial sectors. The Group’s Balda Medical
and Balda Technical operating divisions have operations worldwide, and the
company maintains production facilities in Germany and the USA. The success
of Balda, which employs around 1,000 people, is based on the deployment of
leading-edge, cost-effective technologies, coupled with the trust-based
collaboration with customers. The Balda AG share (ISIN: DE0005215107) is
listed on the SDAX segment of Deutsche Börse.
End of Corporate News
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Company: Balda AG
Bergkirchener Str. 228
32549 Bad Oeynhausen
Phone: +49 (0) 57 34 / 9 22-0
Fax: +49 (0) 57 34 / 9 22-2604
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,
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