BusinessLive reports that in an unprecedented move in the listed real estate sector, 80% of Rebosis Property Fund’s ordinary shareholders voted against implementing the company’s remuneration policy.  

This was a strong indication that investors have run out of patience with the ailing real estate investment trust, which failed to pay a dividend in 2019.  The company has been through a turbulent two years in which it wrote off its investment in UK mall owner New Frontier Properties and had to sell offices and malls in SA to handle its escalating debt levels.  Rebosis has a dual share A and B structure, which is designed to serve investors of varying risk appetites.  Evan Robins of Old Mutual Investment Group noted that it was not uncommon for investors to vote against remuneration policies, but said Rebosis had broken a record in terms of the sheer majority that was against the policy itself and its implementation.  As much as 80% of eligible B-share ordinary shareholders voted against the remuneration implementation report.  More than 73% of A ordinary shareholders voted against the implementation report and an overwhelming 94.99% of A ordinary shareholders voted against the remuneration policy itself.  But, the votes were advisory in nature and, while it might be in the company board’s interests to scrap the remuneration policy, its hand cannot be forced by shareholders.  Rebosis said on Monday that the company would hold discussions with its shareholders about their concerns around remuneration.

• Read the full original of the report in the above regard by Alistair Anderson at BusinessLive

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