Fondul Proprietatea shareholders have decided to renew Franklin Templeton’s mandate as manager for a period of two years as of September 30, and rejected the modification of the company statutes according to an ASF opinion issued in April, according to which the administrator would have been selected by public tendering.
‘The following points on the AGEA (General Meeting of Shareholders) agenda were not approved by the Fund shareholders: Point 2.2 – Modification of Art. 12 paragraph (2) letter d) as noted by ASF in its Opinion no. 3/17.04.2014, as follows: d) appoints S.A.I. based on the results of the selection made within public tendering for the nomination of S.A.I. and recalls its mandate (…)’, reads the shareholders’ decision.
The shareholders also approved two additional deeds signed by and between Franklin Templeton and Fondul Proprietatea, an additional deed to the audit agreement between Fondul Proprietatea and Deloitte and ratified all AGOA decisions and all legal documents concluded, adopted or issued in the name of Fondul Proprietatea by Franklin Templeton, as well as any management/administration measures adopted and/or implemented by it, approved or concluded between September 6, 2010 and September 22, 2014.
The General Meeting of Shareholders also reduced Fondul Proprietatea registered capital by RON 240 M to RON 11.57 bn following the annulment of shares redeemed by the company.
On the other hand, the shareholders declined proposals regarding the remuneration of the management company and expenditures incurred in connection with the additional evaluation of the non-listed stocks in the portfolio.
‘Point 2 on the agenda of the AGOA on the approval of changes to the Investment Management Agreement concluded by and between Franklin Templeton Investment Management Limited United Kingdom, the Bucharest Branch and Fondul Proprietatea S.A. of February 25, 2010, as noted in the ASF Opinion no. 70/19.06.2014 was not approved, respectively: – modification of Article 9, paragraph (1), as follows: <The remuneration of S.A.I. for services provided as part of this Management Agreement is set in conformity with the conditions set forth in the tendering organisation Regulation, the Tendering Task Book as well as in the final offer made following negotiations and with the appendixes to this agreement, sanctioned by CNVM’; – modification of Article 9.2, letter r), as follows: expenditures in connection with the additional evaluation of non-listed stocks in the portfolio by independent evaluators, at the express request of the shareholders, with the prior approval of the CR, other than the expenditures that are the responsibility of S.A.I. as manager of the OPC portfolio under the law’, the shareholders’ resolution states.