KUALA LUMPUR: The resolution for the reappointment of Tan Sri Ong Leong Huat as PJ Development Holdings Bhd’s (PJD) chairman had to be voted on twice at the annual general meeting (AGM) yesterday.
The reappointment of Ong (pic), 70, as the chairman of the property firm was the sixth resolution at the AGM, which was initially declared “carried” at the meeting after shareholders voted with a show of hands, said a company official. There were 33 in favour of Ong’s reappointment while 23 others opposed it.
Ong garnered the majority votes but he needed to obtain the vote of a majority of not less than 75% of those present and voting since he is already 70 years, a stipulation\under Section 129(6) of the Companies Act 1965.
On realising the shortfall, PJD’s independent non-executive director Foo San Kan, who chaired the meeting, said the earlier vote was “renounced” and asked for a revote by poll.
Some minority shareholders, however, walked out of the AGM to express their unhappiness.
They told The Edge Financial Daily that a second vote — by poll — on the same resolution was “unfair” and “not right”. But Foo recalled the meeting and resolution six was passed, even though some shareholders later told the daily that they had refrained from voting.
A filing with Bursa Malaysia yesterday evening revealed that Ong’s reappointment was carried after the second vote with 98.75%, representing 195.7 million shares, in favour of it. Only 1.25% or 2.47 million shares voted against it.
“The resolution on my reappointment encountered a technical glitch because we went through the normal process [and voted by] a show of hands. There were too few persons [voting],” Ong told reporters after the AGM.
He said the second vote was legitimate as it was in accordance with the company’s Articles of Association and was a more accurate representation of shareholders’ interest.
On his plan to merge OSK Holdings Bhd, PJD and OSK Property Holdings Bhd to create a first-tier property group, Ong said “it’s just at the offer stage.”
Ong’s OSK Holdings had offered to purchase 73.6% of OSK Property at RM2 per share, and 31.7% of PJD at RM1.60 per share last month.
Ong holds 21.46% of PJD.
This article first appeared in The Edge Financial Daily, on November 28, 2014.
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