Mar. 31 (LBO) – Sri Lanka’s Sampath Bank put off its extraordinary general meeting Friday to discuss a proposal to lift minimum shareholder limits at a later date. The bank, which also conducted its annual general meeting at the same time, had proposed to amend the articles of association on the 5-percent shareholder limit to keep in line with Central Bank guidelines.
The Central Bank currently limits single shareholder limit to 10 percent under the Banking Act.
However, shareholders present had objected and sought more time to discuss the matter.
Bank’s Chairman Edgar Gunatunga subsequently adjourned the meeting, saying shareholders will be informed of a fresh date in the coming weeks.
Shareholders also approved a proposal to raise the bank’s authourised share capital from Rs1.5 billion to Rs5.0 billion, subject to Central Bank’s consent.
Two directors who are over 70-years Edgar Gunatunga and Ernest Gunasekera were re-elected by shareholders.
However, one shareholder suggested that Gunatunga should step aside from the post of chairman but remain on the board, giving room for fresh blood to sit at Sampath’s helm.