(Alliance News) - Mediclinic International PLC on Thursday noted that its annual general meeting resolution to authorise directors to allot ordinary shares faced notable opposition, though did manage to pass.
Resolution 18 was opposed by 20% of votes at the private healthcare services company's AGM. Although, as an 80% majority voted in favour, the resolution was approved.
Mediclinic said: "The board notes that the voting outcome reflects the differing market practice between the UK and South Africa, where shareholders in the latter jurisdiction usually approve more restricted levels of authority to issue shares and prefer to vote on the proposed allotments of shares on a case-by-case basis.
"The company has consulted regularly with its larger international shareholders on this matter. Many operate under policies that do not permit the UK standard level of authority to be supported, although a number do understand the company's position."
Shares in Mediclinic were down 0.1% at ZAR61.75 in Johannesburg on Thursday, and were down 0.6% in London at 291.90 pence.
On Wednesday, Mediclinic reported its operating performance has improved overall but its Southern Africa revenue was lower in June as the region has not yet passed its Covid-19 peak.
The firm's Southern Africa business revenue was 12% lower in June compared to the previous year as the area "is yet to reach the initial peak" when it comes to Covid-19 cases.
Nonetheless, the hospital operator's overall operational performance improved in June as lockdown measures eased, with elective surgical procedures and outpatient activities starting to gradually resume.
By Anna Farley; annafarley@alliancenews.com
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