Retail voter turn out rates on schemes

August 10, 2021

Ahead of the September 13 Milton scheme meeting vote, this list looks at retail shareholder turn out rates on takeovers which are delivered by a scheme of arrangement. These requires 75% of votes in favour and 50% of shareholders who choose to vote.

Asaleo Care, 2021: A 264 page scheme book which was lodged with the ASX on April 23 and sent to shareholders. Vote was on June 1 with 99.86% of shares in favour and no shareholders poll reported.

Adelaide Bank-Bendigo Bank, 2007: merged in late 2007 with the Adelaide shareholders voting on a scheme but doesn't appear to have been a 50% of shareholders requirement. See results.

MIM-Xstrata, 2003: 89.1% of votes in favour and 58.5% of voting shareholders with 22,588 in favour and 15,971 against. Proxies discretion was 887 but vote on the day was clear majority in favour. See results.

Novion-Federation Centres, 2015: The merger which created Vicinity Centres was approved by 99.9% of voted shares with an 85% turn out but there doesn't appear to have been a separate poll of shareholders. See results.

Redflex, 2021: a 236 page scheme book for a $175m takeover by Arizona-based Verra Mobility was lodged with the ASX on April 8 and mailed to shareholders. The vote on May 10 saw 99.8% of voted shares in favour and 93.8% of voting shareholders although this was only 302 in favour and 20 against out of the 1400 who were eligible to vote, so the turnout was just 23%.

Zinifex-Oxiana, 2008: it was billed as a merger of equals but only the Zinifex shareholders got to vote. 99.3% of voted shares were in favour and 97.15% of the retail shareholders with 17,369 in favour and only 509 against. They had about 40,000 shareholders at the time, so retail turnout was an impressive 44.6%. See results.

Webster, 2020: A 394 page scheme book was lodged on December 17, 2019 and physically sent to shareholders. The vote on February 6 saw support from 95.25% of voted ordinary shares and 86.83% of shareholders (488 in favour and 74 against). Webster had around 3700 shareholders so the turnout was only around 15%. Webster was one of the last companies with preference shareholders and they voted the scheme down but it was subsequently approved anyway.

Westfield restructure, 2014: etc etc

Takeovers since the MIM deal in 2003 done without a scheme vote

WMC Resources: bought by BHP in 2005.