Mondelez, BlackRock Make it Easier for Shareholders to Nominate Board Candidates

By Maria Armental 

Snacks giant Mondelez International Inc. on Wednesday said it had adopted a so-called proxy access policy that would allow certain shareholders to nominate members to its board.

Separately, BlackRock Inc., the world's largest asset manager, said it plans to put forth a similar proposal, subject to shareholder approval, at its next shareholders' meeting.

The two companies join a growing swath of big U.S. companies who are making it easier for shareholders to nominate candidates for board seats. These include Coca-Cola Co., Microsoft Corp., General Electric Co. and Monsanto Co.

Both companies' policies roughly mirror a 2010 Securities and Exchange rule, struck down by the courts, requiring eligible shareholders have at least a 3% stake and have held the stock for at least three years.

Mondelez's policy, which is slated to go into effect on Oct. 9, allows a shareholder or group of up to 30 shareholders to nominate up to two members, or 20% of its board, whichever is greater, based on its board size at the time. Its board currently has 12 members.

BlackRock's proposal would allow a shareholder or group of 20 to nominate up to 25% of the board's directors. BlackRock currently has 19 directors.

Shares of Mondelez and BlackRock, which have risen 22% and fallen 10%, respectively, this year, edged lower in after-hours trading on Wednesday.

Write to Maria Armental at [e-mail]

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(END) Dow Jones Newswires

October 07, 2015 17:11 ET (21:11 GMT)

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