The decision by shareholders of the EDP – Energias de Portugal group to keep a 25% limit on voting rights has brought the takeover bid launched by China Three Gorges (CTG) to an end, according to an announcement made on Wednesday in Lisbon.
The shareholders at the general meeting, representing 65.18% of the group’s share capital, rejected the proposal put forward by the Elliott Management Corporation, owned by Paul Elliott Singer, to amend the statutes to put an end to the limit on voting rights.
The proposal was rejected by 56.60% of the votes cast, and according to the group’s statutes, a qualified majority of two-thirds was required for its approval.
The takeover bid launched by CTG on 11 May 2018 including the condition of amending the company’s statutes to remove the limit on voting rights.
The Chinese state-owned company owns 23.27% of the EDP group, while CNIC, also from China, has a 4.98% stake.
CTG said on Monday, 22 April, that all the conditions that the launch of the offer is subject to remain in force and specifically if the result of the vote does not allow the elimination of the current limit on voting rights, “that CTG will not waive this condition.” (Macauhub)