4 questions lodged at 2024 Seafarms hybrid AGM
December 14, 2024
Below is the text of the 4 written questions submitted at the 18 minute Seafarms hybrid AGM held in Brisbane on November 29 2024, plus a summary of the answers and some video grabs via Twitter. Proxies weren't disclosed early but protests were massive with a second strike, board spill supported and defeat of the Ian Trahar financial support resolution. CEO preso came later and they delivered on extra voting data. No sign of any AGM webcast archive here so have emailed requesting it.
Q1. After the latest $19.3m full year loss, we've now got $300.3m in accumulated losses, claimed net assets of $14.8 million and a market cap of just $9.7 million? Where did all the money go and if Mr Trahar and the former CEO had their time again, what would they do differently?
Answer: The chair Ian Trahar said COVID was a factor, he had contributed $80m and was trying to get his money back. Legal fees and the disastrous NT project Sea Dragon were also problematic. Watch video of exchange via Twitter.
Q2. Thanks to Ian Trahar for keeping this business afloat over many years, even as the significant losses continued to mount. Does he ever reflect on whether he is throwing good money after bad and what is his end game in terms of his personal involvement in the Seafarms journey? Are we likely to see another resolution like this at next year's AGM?
Answer: The chair sarcastically thanked me for showing sympathy for his losses but the resolution on him providing more support was actually defeated. Watch video of exchange via Twitter.
Q3. When disclosing the outcome of voting on all resolutions today, including this remuneration item, please advise the ASX how many shareholders voted for and against each item, similar to 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. The likes of Qantas, ASX, Suncorp, Tabcorp and even the world's biggest share registry provider Computershare have all voluntarily provided this data during the current AGM season. You've got the data, so why not let the sun shine in?
Answer: The chair delivered on extra voting data.
Q5. There have been many substantial protest votes against resolutions like this during the current AGM season. It is not good practice to allow a board to selectively place up to 25% of the company's shares to anyone they like over a 12 month period, diluting the existing shareholders without compensation for their lost property rights. Why not look at pro rata renounceable raisings in the future?
Answer: Not asked but the 36% protest vote saw this resolution defeated as it required a 75% super majority.
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