Bayer Again Investor Criticism Over Glyphosate Litigation
Bayer Tuesday faces its second annual investor reckoning over its handling of a wave of U.S. lawsuits claiming its glyphosate-based weedkillers cause most cancers.
Last year’s meeting, Bayer’s prime management was handed an unprecedented show of shareholder disapproval, with a 55.5% majority of shareholders voting against ratifying the executive board’s business conduct.
Such a vote, which prominently wraps up every German AGM, is basically symbolic because it has no bearing on administration’s liability or tenure; however, it’s treated as a key gauge of investor sentiment.
In the run-up to Tuesday’s occasion, major shareholder advisory agency ISS backed a motion to assist the actions of the administration and supervisory board, seeing no evidence that fiduciary duties had been breached in 2019.
Glass Lewis, another major proxy advisor, has mentioned that investors ought to abstain because proceedings relating to Roundup had yet to be concluded.
Mutual fund agency Deka Funding, one of Bayer’s largest German shareholders, stated it could give management and non-executive directors a vote of clearance because Bayer had reacted to investor criticism. Deka Investment had given them a thumbs-down in 2019.
Bayer, on March 27, became the first German firm to announce a transfer to hold its AGM online shortly after the German authorities laid the bottom for such a change.