NAIROBI, Kenya, Nov 10 – Kenya Power shareholders have agreed to increase the number of minority shareholders on its Board of Directors.
This follows the amendment to the company’s Memorandum and Articles of Association during an Extraordinary General Meeting (EGM) that was held today.
The utility firm said that the restructuring seeks to safeguard interests of minority shareholders, which is in line with its corporate governance practices and the government’s transformative growth aganda.
“The amendments will provide a mechanism for appointing Directors to fairly reflect the Company’s shareholding structure. Currently, the Government holds 50.09% of the Company’s shares. In line with the approved amendments, the Government, who is the Majority Shareholder, will appoint five directors while the remaining shareholders will elect four directors,” Kenya Power said in a statement.
“The changes are aligned to the Government’s commitment to transform Kenya Power into a commercially viable entity, by delinking development initiatives, to allow the Company to operate on commercial principles.”
KPLC commenced the process in October this year in what it said would give minority shareholders a say in the firm’s decision making.
“The amendments provide a mechanism for appointing directors in a manner that proportionately reflects the company’s shareholding structure,” KPLC announced in a statement earlier.
