ISS consultancy recommends voting against Toshiba chairman
The Toshiba Corp. logo is visible next to a traffic light on top of a building in Tokyo
TOKYO (Reuters) – Toshiba Corp shareholders are expected to vote against the reappointment of board chairman Osamu Nagayama and four other directors, the advisory firm ISS recommended to shareholders on Saturday.
The Institutional Shareholder Services Inc (ISS) recommendation follows an explosive shareholder-commissioned investigation that accused Toshiba of colluding with the Japanese government to pressure foreign investors.
The report of that investigation, released Thursday, revealed how the conglomerate contacted the Ministry of Economy, Trade and Industry (METI) to get it to “beat up” foreign shareholders.
ISS advised shareholders to oppose the reappointment of current members of the nomination and audit committees at an annual meeting of shareholders on June 25.
“You could argue that the investigation report was just released on June 10, there was no time to change the director candidates,” the ISS said in its report, released on Saturday and seen by Reuters.
However, he added that it was “unthinkable that the members of the nominating committee were not aware of the importance of the incident and the concerns of the shareholders that accompany it”, as allegations have been made for a long time, he said. he declared.
Glass Lewis, another U.S. advisory firm, also urged shareholders at this year’s AGM to vote against the reappointment of the same five directors.
(Reporting by Makiko Yamazaki; Editing by David Dolan and David Holmes)