Elliott Welcomes Imminent Bezeq Board Overhaul and New Era for Strong Independent Governance
Elliott Advisors (UK) Limited (“Elliott”), which advises funds which collectively hold a significant economic interest in Bezeq The Israeli Telecommunication Corporation Ltd. (“Bezeq” or the “Company”), welcomes the proposed governance reforms announced by Bezeq last night.
In its initial letter to Bezeq Interim Chairman David Granot, dated January 16, 2018, Elliott outlined the urgent need to address the Company’s serious corporate governance issues, and called for changes at the Board level that result in “the right mixture of expertise, independence and integrity for the future.” Elliott stated then, and reiterates now, its belief that “there is significant value to be unlocked if the right steps are taken to improve its corporate governance.” Bezeq has strong business fundamentals, an exemplary workforce, and great potential.
Following yesterday’s announcement, Elliott highlights the changes that have occurred since January 16th. Taken together, these amount to a revolution in the company’s governance, and have set precedents for the assertion of good governance principles and shareholder rights in Israel. Specifically:
- Directors implicated by a troubling, ongoing investigation have either resigned from the Board or will not stand for election at the shareholder meeting.
- The new Board will be comprised of a majority of independent directors, unaffiliated with B Com. This will be the case whether shareholders vote in favour of Bezeq’s proposals or Entropy’s proposals at the upcoming shareholder meeting.
- The quality of the candidates on the independent and external director lists are in general very high. There are a number of business leaders of significant independent standing, including former chairmen and CEOs from within the telecom and other industries. Whatever the outcome of the elections, we can expect the board to include a strong mix of independence, experience and integrity.
- The previously dominant role of B Com in nominating directors has been dramatically reduced. Historically, in practice, this single non-majority shareholder hand-picked all Directors with no regard for independence or experience, and setting aside the open question of whether it had the right to make any nominations. Now B Com will nominate a minority of the board, and its candidates—as with all the Bezeq nominated candidates—are subject to review by an independent appointments committee. We further note that the composition of the nominees for Bezeq’s independent directors was made by this independent appointments committee, based on advice from a recognised executive search firm.
- The precedent has now been set for shareholders to be able to call special meetings at Bezeq. The clarification of this point by the Ministry of Communications has established an important safeguard against any weakening of Bezeq’s governance in the future. The recognition and affirmation of the rights of minority shareholders provide an essential check against the corporate malfeasance that has plagued Bezeq in recent years.
- It has been clarified that—other than for interim, temporary time periods—only a shareholders’ meeting has the power to appoint directors at Bezeq, which marks another important win for accountability.
As Elliott stated in January, Bezeq faces compelling business opportunities and significant challenges. A period of instability and dysfunction in the company’s governance is now coming to an end. Following next month’s general meeting, Bezeq will have a Board befitting a company of its scale and strategic importance. All stakeholders will be able to look forward with confidence.
Elliott Management Corporation manages two multi-strategy funds which combined have over $34 billion of assets under management. Its flagship fund, Elliott Associates, L.P., was founded in 1977, making it one of the oldest funds of its kind under continuous management. The Elliott funds’ investors include pension plans, sovereign wealth funds, endowments, foundations, funds-of-funds, and employees of the firm. Elliott Advisors (UK) Limited is an affiliate of Elliott Management Corporation.
Om Business Wire
(c) 2018 Business Wire, Inc., All rights reserved.
Business Wire, a Berkshire Hathaway company, is the global leader in multiplatform press release distribution.
Følg saker fra Business Wire
Registrer deg med din epostadresse under for å få de nyeste sakene fra Business Wire på epost fortløpende. Du kan melde deg av når som helst.
Siste saker fra Business Wire
Versum Materials Celebrates the Grand Opening of Its Research and Development Facility in Hometown, PA19.4.2018 20:37 | Pressemelding
Versum Materials, Inc. (NYSE: VSM), a leading materials supplier to the semiconductor industry, announced today the grand opening of its new research and development (R&D) facility at its semiconductor materials manufacturing site in Hometown, Pennsylvania. The ribbon-cutting ceremony took place April 10, 2018. Versum employees, members of the community, local government, customers and strategic partners attended the event. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20180419006305/en/ Versum Materials ribbon-cutting ceremony at the company's new R&D facility in Hometown, PA. (Photo: Business Wire) The state-of-the-art R&D laboratory is dedicated to new materials used in the manufacture of semiconductors. Scientists in the facility will synthesize and purify new molecules down to parts per billion impurity levels and below using the latest technologies available in the industry. The researchers can assess the applications f
Pharnext to Showcase PLEOTHERAPY™ R&D Platform at the 8th Annual Global Orphan Drug Conference19.4.2018 15:45 | Pressemelding
Regulatory News: Pharnext SA (Paris:ALPHA) (FR0011191287 - ALPHA), a biopharmaceutical company pioneering a new approach to the development of innovative drug combinations based on big data genomics and artificial intelligence, today announced that Rodolphe Hajj, Ph.D., the Company’s Chief Pharmacology Officer, will present at the 8th Annual Global Orphan Drug Conference. The presentation will take place as follows: Date & Time: Wednesday April 25th at 4:40 pm EST Title: “Next generation drug repurposing using network pharmacology to develop new therapeutic entities for rare diseases” Venue: Gaylord National Harbor Hotel, Oxon Hill, MD, U.S. Pharnext’s team will also attend the 2018 American Academy of Neurology Annual Meeting as a first-time exhibitor (booth 908). The meeting will take place on April 21-27, 2018 in Los Angeles, CA, U.S. If you are interested in meeting the Pharnext management team during these events, please send an email to email@example.com. About Pharnext Pharne
New Study Investigates the Utility of Masimo SpHb® in Post-operative Red Blood Cell (RBC) Transfusion Best Practices19.4.2018 15:01 | Pressemelding
Masimo (NASDAQ: MASI) announced today the findings of an abstract presented at the 2018 Annual Meeting of the Network for the Advancement of Patient Blood Management, Haemostatis and Thrombosis (NATA), in which researchers investigated the utility of Masimo noninvasive and continuous hemoglobin (SpHb®) in supporting and enhancing red blood cell (RBC) transfusion best practices as part of post-operative patient blood management (PBM).1 This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20180419005949/en/ Masimo Radical-7® with SpHb® and RD rainbow SET™ Sensor (Photo: Business Wire) In the study, Prof. Baricchi and colleagues in the Transfusion Medicine Unit, AUSL-IRCCS of Reggio Emilia and at the Department of Medicine and Surgery at the University of Parma, Italy, sought to evaluate the appropriateness of post-operative RBC transfusion over a three-year period (2013-2015), before and after implementation of a patient blood managem
Synteract Repositions Itself with Centers of Therapeutic Development and Unveils Updated Brand Platform19.4.2018 14:06 | Pressemelding
Synteract, an innovative contract research organization (CRO) providing full-service, Phase I-IV services to biopharma companies bringing new medicines to market, has enhanced its focus. The CRO today announced the creation of therapeutic centers of development that include some of the most progressive in the biopharma industry: oncology, especially leading edge immunotherapy studies, neuro-degenerative disorders, pediatrics, and rare and orphan disease. In addition, Synteract revealed its new market positioning with an updated logo, tagline, and website to reinforce its core capabilities. Synteract’s leadership has been proven in these core development areas, over its nearly 30-year history, through its contributions to more than 240 product approvals. Formal establishment of its new centers of development bring more visibility to Synteract’s longstanding, specialized expertise in these complex areas of clinical research. Synteract CEO Steve Powell says, “By aligning operational excel
Nel ASA: Receives Additional Purchase Order from Nikola19.4.2018 14:00 | Pressemelding
Nel ASA (Nel, OSE: NEL) has received a USD 5.5 million purchase order from Nikola Motor Company (Nikola), as part of the previously announced hydrogen stations. “We are very proud to announce that we have received an additional order from Nikola related to the electrolyzer and fueling solution for their prototype trucks. The order marks a strengthening of our partnership and is a recognition of the level of competence our team and hydrogen solutions can offer. We look forward to supplying the demo stations, which will lay the groundwork for the world’s largest, most efficient network of low-cost hydrogen production and fueling sites,” says Jon André Løkke, Chief Executive Officer of Nel. On November 15, 2017, Nikola and Nel announced the exclusive partnership and a purchase order for two so-called demo hydrogen refueling stations for Nikola's fleet of prototype hydrogen trucks. The partnership aims at developing low-cost, renewable hydrogen production and fueling sites for the potentia
Voith and Franka Emika Form a Strategic Partnership19.4.2018 13:39 | Pressemelding
The technology company Voith and the Munich-based robotics company Franka Emika have entered into a strategic partnership. Part of the strategic partnership is the establishment of a new joint venture called Voith Robotics – A Voith and Franka Emika Company. The company, with headquarters in Munich, is to become a global system supplier for robot-assisted automation in the digital age. Voith Robotics will offer self-teaching lightweight robots made by Franka Emika, along with software solutions, apps, services and process consulting, to customers in various industries and markets throughout the world. As part of the strategic partnership Voith will also have a direct stake in Franka Emika, thus emphasizing the long-term and strategic commitment by the two companies to cooperation. Martin Scherrer, formerly a member of the Board of Management of Voith Paper, will be the new chief executive officer of Voith Robotics, which is to be managed by Voith. The still very young market for collab