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Proxy Advisers Oppose Wise’s Dual-Class Extension Ahead of July 28 Vote

Skaala warns High Court intervention could stall the dual-listing scheme unless votes on the US listing are unbundled from the super-voting rights extension.

A smartphone with the Wise logo is placed on a laptop in this illustration taken on July 14, 2021. REUTERS/Dado Ruvic/Illustration/File Photo

Overview

  • Glass Lewis and PIRC have updated their recommendations to advise shareholders to reject the combined proposal after identifying governance risks in extending the dual-class structure by ten years.
  • Skaala Investments accuses Wise of misleading investors by claiming unanimous proxy-adviser support and insists the New York listing move should be voted on separately from the super-voting rights extension.
  • Taavet Hinrikus’s Skaala has put forward two alternative schemes of arrangement that would allow shareholders to approve the US listing with or without the ten-year extension of founder voting privileges.
  • Skaala warns that if ballots remain bundled the High Court may refuse to sanction the current scheme, potentially delaying the dual-listing by months and raising costs.
  • The binding shareholder vote on July 28 will determine whether Wise maintains founder control under its dual-class structure as it shifts its primary listing from London to New York.