K Line’s chairman and its CEO have managed to keep hold of their jobs despite some shareholders wanting to remove the bosses of the Japanese liner.
Shareholders led by Singaporean firm Effissimo Capital Management had tried to remove the CEO Eizo Murakami and chairman Jiro Asakura, as they are unhappy with the company’s profitability.
After news broke that the attempt had failed, the company’s share price from around(US$2.56) Y285 to close to Y275 (US$2.47).
This was the second year in a row that Effisimo had tried to remove Murakami. Last year, he defeated the rebellion by gaining 57% of the AGM’s votes.
K Line, along with other container shipping lines both in Japan and around the world, has made losses in recent years and felt forced to merge with its competitors.
In November 2016, K Line announced that, pending regulatory approval, it would merge its non-Japanese activities with those of competing Japanese container lines NYK and MOL.