Friday, 22 March 2024 09:38

Agria gives up bid to wrest control of PGW board

Written by  Sudesh Kissun
A bid to take control of the PGG Wrightson board has fizzled out. A bid to take control of the PGG Wrightson board has fizzled out.

A move by PGG Wrightson Limited’s biggest shareholder to take control of the board has fizzled out.

The listed rural trader says it has been told by Agria (Singapore) Pte Ltd that it has withdrawn its notice issued on February 8 2024, requesting that a special shareholders meeting be convened to consider several proposed director changes.

“The PGW board welcomes this development and has determined that preparations for the proposed special meeting will now not be needed,” PGW told the NZ Stock Exchange this morning.

“Agria and the PGW board have determined that the current composition and the majority of the membership of the board continue to have an appropriate balance of expertise, skills, and independence.”

Agria holds 44.3% stake in PGW and appoints two directors on the six-member board.

However, in February Agria wrote to PGW seeking a special meeting to remove three independent directors – Gary Moore, Sarah Brown and Charlotte Severne and replace them with former chair and Agria founder Alan Lai, Vena Crawley and Traci Houpapa. The fourth independent director  - Meng Foon’s board membership isn’t affected.

The PGW board responded by appointing Moore as chair, replacing Agria representative U Kean Seng, who had been acting chair. The PGW board said that “it is in the best interests of the company to have a New Zealand resident chair to work closely with the senior management team to continue to drive the business forward”.

Agria’s call for a special meeting was dealt a severe blow earlier this month when the NZ Shareholders Association waded in and said that changes sought by Agria would have a detrimental effect on future outcomes for smaller PGW shareholders.

It also urged its members, who own shares in PGW, to vote against Agria’s proposal.

“We believe the proposals will reduce board independence,” the association stated.

“The proposed directors will have been nominated by Agria and would likely serve on the board under the ongoing patronage of Agria. Shareholders have been given no reason for the proposed board changes. While PGW is currently enduring a cyclical downturn, NZSA retains confidence in most of the current independent directors on the board.”

More like this

Wool pellets to boost gardens

With wool prices steadily declining and shearing costs on the rise, a Waikato couple began looking for a solution for wool from their 80ha farm.

Miraka CEO steps down

The chief executive of Taupo-based dairy company, Miraka – Karl Gradon - has stepped down from the role for personal and family reasons.

Featured

Wool pellets to boost gardens

With wool prices steadily declining and shearing costs on the rise, a Waikato couple began looking for a solution for wool from their 80ha farm.

'Cheap seed comes with major risks'

Choosing pasture seed at bargain prices may seem an attractive way for farmers to reduce autumn or spring re-sowing costs, but it comes with significant risks, says the NZ Plant Breeders and Research Association (PBRA).

High commodity prices, farmer optimism bode well for event

The 2025 South Island Agricultural Field Days (SIAFD) chairman, Rangiora farmer Andrew Stewart, is predicting a successful event on the back of good news coming out of the farming sector and with it a greater level of optimism among farmers.

National

Global wool marketplace to launch

Wools of New Zealand will soon launch the international version of an online global wool marketplace designed to bring farmers…

Machinery & Products

New seed drill tech coming

Incorporating Vaderstad's latest seed drill technology, the Proceed V 24, is said to improve precision and increase planting efficiencies for…

Foliar feeding 'lifts N efficiency'

Research findings published in Europe support the concept of foliar fertilisation or foliar feeding in improving nitrogen use efficiency (NUE)…

AGCO and SDF join hands

Tractor and machinery manufacturer AGCO has signed a supply agreement with the European-based SDF Group, best known for its SAME,…

» Latest Print Issues Online

The Hound

Waffle man

OPINION: Prime Minister Christopher Luxon sometimes can't escape his own corporate instinct for evasion, and in what should have been…

Banks on notice

OPINION: Shane 'Matua' Jones, crusader against all things woke, including "woke banks", couldn't have scripted it better when his NZ…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter