Loh Joins Webb in Run for HKEx Elections
7 April 2006
Webb-site.com is pleased to announce that Christine Loh Kung-wai, Chief Executive of Civic Exchange, has today accepted a nomination by Webb-site.com editor David Webb for election as an independent non-executive director of Hong Kong Exchanges and Clearing Limited (HKEx, 0388). David Webb is an incumbent INED of HKEx, who was elected in 2003 and is running for re-election.
David Webb said "I am delighted that Christine has accepted this nomination. I strongly believe that with her abundant experience in Hong Kong public affairs, her pioneering establishment of the Civic Exchange think tank, and with her earlier degrees in law and experience as a legislator and in the commodities markets, she will make a great contribution to the future success of HKEx if elected at the AGM on 26th April. Christine has already been involved in furthering investor interests as a non-executive director of ASrIA, the Association for Sustainable and Responsible Investment in Asia, and also serves as a member of the advisory committee of the SFC."
Christine Loh said "David has worked tirelessly to advance corporate and economic governance in Hong Kong, and in his fight to create a more level playing field for investors. I am honoured to be nominated as a candidate and, if elected, I pledge to uphold the interests of the investing public and the shareholders of HKEx, large and small. It is essential that Hong Kong move forward with market reforms to maintain its status as the leading capital marketplace in China, building a quality framework and efficient market which attracts issuers and investors alike."
David Webb added: "there are a small but vocal minority of brokers who believe that the stock exchange should be run primarily for the benefit of the people who once owned it, keeping buyers and sellers apart by means of a wide spread table. The same people delayed the abolition of minimum commissions and succeeded in the retention last year of a "living museum" style trading hall in which only 2% of transactions take place. Perhaps they would rather the exchange is run like a casino. As China opens up, I am not willing to see Hong Kong's markets marginalised by lack of progress, and that is why I am running to keep my seat at the table and have nominated Christine Loh to gain additional representation for the investing public."
He continued: "I am currently serving as an HKEx representative on the Listing Nominating Committee and, if re-elected, I will do my best to increase investor representation on the Listing Committee in May to balance investors' interests with the interests of issuers. Hong Kong is the last significant market in Asia that does not require quarterly reporting, and has the slowest financial reporting deadlines. The issuer-dominated Listing Committee, which holds a veto on reforms, has dragged its feet for too long on these and other important matters such as pre-emptive rights and mandatory poll voting. Hong Kong deserves much better."
Notes to editors
1. Christine Loh's biography is at this link.
2. David Webb's biography is at this link.
3. HKEx has set an advisory deadline for nominations on Monday, 10th April. A supplementary circular and proxy form will be published on or about Tuesday, 11th April containing details of all candidates. If any more candidates are nominated after that, then under the Listing Rules, HKEx will have to adjourn the annual general meeting to allow shareholders 14 days to vote for or against each candidate. Webb-site.com urges investors to wait until the revised proxy form has been published on Tuesday before voting for or against each candidate.
4. There are 2 vacancies to be filled at the contested election on 26th April 2006. The election of each candidate will be the subject of a separate ordinary resolution to be voted on ("for" or "against") by shareholders. If more than two such resolutions are passed by simple majority, then the winners will be those with the two highest numbers of net votes ("for" minus "against"). Therefore shareholders should vote in favour of the 2 candidates they want and vote against each of the other candidates. If they simply vote in favour of their 2 candidates, but abstain on the others, then they will reduce the chance of their chosen candidates being elected.
© Webb-site.com, 2006