Thursday, January 15, 2009

Missing the Centum party

(EDIT: Centum's official Press release about the AGM)

When I last looked at Centum, company was in the news due to CEO exit and a postponed AGM and postponed dividend.

Now it appears the AGM took place yesterday: I did not attend as I (i) had sold my shares (ii) did not see invitation document before today (iii) forgot all about Centum AGM

From today's reading, Centum sent out an annual report with updated sections but still the financial accounts for nine months to March 2008: it now includes mentions of departures of Isaac Awuondo (September 08), and CEO Peter Mwangi (October 2008) which coincided with the postponed AGM, and also welcomes on board new directors - Kibuga Karithi (September 08) , Imtiaz khan (November 2008 - Cassias capital partners) and new CEO James Mworia (appointed October 2008, joined board December 2008) who came on board a week after Mwangi left - for greener pastures where he’s now the CEO of the Nairobi Stock Exchange (NSE)

No agenda: The invitation letter dated on 1st December 2008 mentiones a shareholder presentation woudl take place on Thursday at 10, followed by the AGM at 11 - but no meeting agenda was contained.

The report also states that the (Centum) board believes that annual general meting provides an appropriate forum for investors to communicate with the board and encourages participation

Dividend day A company statement from October had mentioned that dividend would be paid at the January 14 AGM

So what happened?

Anonymous Comments posted yesterday include

Anonymous said... You gave the Centum AGM a skip???!! Here I was looking forward to a post on that.
Part of the drama was that the company's attorney denied a proxy audience on the grounds that co. law does not expressly provide for proxies to be heard at an AGM. I wonder how corporate s/holders are supposed to voice their concerns at AGMs in that case?
Interestingly, a special agenda to have two directors (the Chairman and Chris Kirubi) removed was in the cards; no need to wait for the result of that coz its sure to flop since their stake in the co is significant.

Anonymous (New CEO) MainaT - I think he's off to a good start. He managed the anti- C.K s/holder sentiment as best as these things can be managed i.e. by requesting the co. attorney to give an (erroneous) interpretation of co law to diffuse the anti C.K sentiments that were beginning to spiral out of ctrl.

Anonymous said... Centum don't have an in-house co. attorney. They must have hired whoever was turning proxies at the door. Their co. sec. is not attorney. Curiously, did they send the annual reports without the proxy forms? Extremely strange. Very strange. CMA should take a peek at this. Some one should write a stinker, otherwise, minority views will continue to be suppressed.

any more comments? and was the dividend paid or just declared?

Toxic Centum Last time Centum was in the news their CEO had departed, and Discount stockbrokers had collapsed. This time the news cycle is topped by the Triton fuel scam and the departures of the Chairman of the Capital markets Authority Chege Waruingi and Kenya Airports Authority CEO George Muhoho - (more from "airport expert" - Coldtusker )

1 comment:

Nairobian Perspective said...

interesting affair.....


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