
In 2009, the UK government adjusted the Companies Act 2006 with the Shareholder Rights Regulations 2009, allowing businesses to hold virtual board and shareholder meetings. The rule, section 360A of the Act, applies to all UK-incorporated companies, whether public or private. This goes beyond the remit of the EU directive that prompted the change, which only applies to companies whose shares are admitted to trading on a regulated market. Note Traded companies have to abide by two conditions to be able to hold their board and shareholder meetings virtually: Everyone taking part should be easily identified and the security of the electronic meeting must be ensured. Holding a virtual meeting must be shown to be a proportionate action in terms of increasing attendance. Although the government introduced the law in 2009, the first virtual AGM of a company listed on the Main Market didn’t take place until 2016. Luxury fashion […]