6 questions lodged at 2024 Growthpoint hybrid AGM
November 21, 2024
Below is the text of the 6 written questions submitted at the Growthpoint Australia hybrid AGM held on November 21, 2024.
Item 1 the accounts or general business
Q1. Even after our $298 million statutory loss, our claimed net assets of $2.61 billion significantly exceed the current market capitalisation of $1.93b after the share price tumbled from $4.40 in April 2022 to $2.54 yesterday. Could auditor David Shewring from Ernst & Young please detail the rigour of the valuations process that he went through with the audit and comment as to whether he will look closely at more write-down in the February half year result given the $680 million disparity between our valuation and the market's valuation?
Item 2 Remuneration report
Q2. Did any of the 5 main proxy advisers - ACSI, Ownership Matters, Glass Lewis, ISS and ASA - issue a report about us ahead of today's AGM. If so, did any of them recommend any votes against and what reasons did they give? Also, has there been any material vote against this remuneration report resolution?
Election of Tonianne Dwyer
Q3. Could new director Tonianne Dwyer and the chair comment on the recruitment process that led to her appointment to the board. Was a head hunter involved, did the full board interview Tonianne as a group and did they interview any other candidates? Did Tonianne know any of our directors before engaging with the recruitment process?
Q4. Given that Growthpoint Properties is our largest shareholder with 63% and our share price has performed so poorly over the two years, could representatives of our controlling shareholder please comment on whether there is any discount to NTA that would inspire the parent to launch a mop-up bid, or at least creep up the register? What is the controlling shareholder doing to improve the lived experience of the 2,500 minority retail shareholders who have had a terrible ride in recent years?
Audit tenure and tenders
Q5. We started out with PwC as our external auditor when we floated in 2007 and are now audited by Ernst & Young. How many competitive audit tenders have we run over our 17 years as an ASX-listed REIT and when are we next planning to run one?
Extra voting disclosure
Q6. Thank you for offering shareholders a hybrid AGM today to maximise participation opportunities and also for publishing all AGM webcasts since 2015 on your website. This is very good practice. We have around 2,600 shareholders but less than 200 will have voted today. When disclosing the outcome of voting to the ASX this afternoon, could you please include the data on how many shareholders voted for and against each item, similar to what happens with a scheme of arrangement? This will provide a better gauge of retail shareholder sentiment on all resolutions and insight into the chronically low retail shareholder participation rate. Our share registry provider Computershare did this for the first time at its AGM earlier this month.
Answer: Sadly, they failed to deliver in these poll results.
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