Amec gears efforts to contribute to all stages of the development process of the Novo Mercado

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The Association of Capital Market Investors – Amec – has been committed to contributing and supporting the initiative of the Brazilian Stock Exchange – BM&FBOVESPA – focused on reformulating and evolving the special listing segments. With that in mind, the association prepared a new document with suggestions to the second stage of the Public Hearing, praising both the proposal of a differentiated calculation of the free float of companies listed in Level 2 and the adjustments made to the definition of independent board members.
However, there is one item our members disapprove of: the use of legal loopholes to avoid the disclosure of management compensation. It is a position contrary to global corporate governance best practices.
Additionally, Amec’s members do not agree with the reduction in the percentage required in tender offers for the delisting from the Novo Mercado from 50% to 40% of participating shareholders. In the letter, they voice their concern stating that “with such decision, even if the majority of the free float is actively against the delisting, the company can leave the segment – probably against the interest of both the Company and most of its shareholders.”
Click here to access the President Letter 01/2017 – Evolution of the Special Segments – New Public Hearing.