SEC chair Emilio Aquino
The Securities and Exchange Commission (SEC) has approved new rules allowing minority shareholders of publicly listed companies to put items on the agenda during any regular or special meeting.
The SEC en banc on April 28 approved a new memorandum providing for the right of a shareholder or a group of shareholders holding at least 5 percent of the outstanding capital stock of a publicly listed corporation to include items on the agenda prior to a regular or special stockholders’ meeting.
All items added on the agenda by qualified shareholders pursuant to this circular after the definitive information statement (DIS) has been filed with the SEC should be filed under “other matters.” In this regard, the reporting company will no longer be required to amend its DIS.
“The newly issued rules promote good corporate governance and the protection of minority investors, in line with our mandate as the overseer of the corporate sector and the champion of the investing public,” SEC chair Emilio Aquino said in a press statement on Wednesday.