0
• Extraordinary general meetings are called to discuss strategic and other issues with shareholders outside the normal financial calendar.
Purposes
Both types of meetings are formal meetings between company directors and the shareholders of the company. They typically involve presentations by the board (typically the chairman and/or CEO) and a chance for shareholders to question the board.
AGMs
The AGM is a formal part of a company financial year. Its purpose is to allow the board to present the year's results, discuss the outlook for the coming year, present the formal, audited accounts and to have the final dividend and directors' emoluments approved by shareholders. Shareholder approval is signalled by the passing of resolutions in which shareholders vote in proportion to their holdings. It is usual for the board to make a recommendation and then seek approval of that recommendation by shareholders. The dividend per share, for example, is recommended by the board but only paid after approval by the shareholders at the AGM. Institutional shareholders may employ proxy voting if they are unable to attend in person.
EGMs
Extraordinary meetings are called when issues need to be discussed and approved that cannot wait until the next AGM. A full year can be a very long time. In some business environments when events necessitate substantial change or a major threat, an EGM is sometimes called. Management may want a shareholder mandate for a particular strategic move, such as for a merger or acquisition. Other major issues that might threaten shareholder value may also lead to an EGM such as a 'whistleblower' disclosing information that might undermine shareholders' confidence in the board of directors.
Add your answer:
Earn +20 pts
What is AGM and EGM in share market?
AGM- Annual General Meeting. EGM- Extraordinary General Meeting
What is the difference between general meeting and annual general meeting?
As far as I can tell with the description you've given, A general meeting can happen at anytime, and on any subject, where an annual meeting will happen once a year, and will more than likely have a preplanned agenda. Of course a general meeting will have an agenda too
What is the difference between general meeting and annual meeting?
As far as I can tell with the description you've given, A general meeting can happen at anytime, and on any subject, where an annual meeting will happen once a year, and will more than likely have a preplanned agenda. Of course a general meeting will have an agenda too
What represents the most direct power that stockholders have over the operation of a company?
A vote at an annual or extraordinary general meeting.
What represents the most direct power that stockholders have over the operations of a company.?
A vote at an annual or extraordinary general meeting.
What represents the most direct power that stockholders have over the operation of the company?
A vote at an annual or extraordinary general meeting.
What is the difference between meeting with someone and meeting someone?
If you meet with, you have a meeting with that person, like a talk or lecture. Meeting someone is when you come face to face with that person.
Difference between symposium and meeting?
Symposium originally referred to a drinking party and a meeting is a place to met others
What is the difference between formal and informal meeting, and what is the purpose of each?
i dont know the answer
What is the difference between proposed and declared dividend?
Proposed dividend is that which is proposed by the management to be paid to share holders of company.Declared dividend is the dividend which is finalized in annual general meeting to be paid to share holders.
What is the difference between public meeting and meeting in public?
A public meeting has to do more with businesses, basically a regular meeting. Meeting in public is just meeting someone like a friend or family member in public, like meeting them at a bus stop or restaurant.
Difference between CEO and General manager?
A CEO is the companies main boss-go on trips inicializes meeting and stuff like that. A general manager does smaller work such as holds the meetings, tells people what and takes small trips unlike the CEO.
