Home Newsroom Important NDU will provide remote voting service for joint stock companies to hold Annual General Meetings
NDU will provide remote voting service for joint stock companies to hold Annual General Meetings Print
Wednesday, 01 April 2020 08:44

 

On March 30, 2020, the Verkhovna Rada of Ukraine approved the Draft Law “On amendments to certain legislative acts of Ukraine regarding the provision of treatment of the coronavirus disease (COVID-19)”.

НДУ допоможе акціонерним товариствам провести Річні загальні збори дистанційно

The adopted Law of Ukraine (bill No.3268) provides for the possibility of postponing the terms of holding the annual general meeting based on the results of 2019. Consequently, joint stock companies are entitled to hold an annual general meeting of shareholders for the year 2019, no later than three months after the quarantine is lifted. The same applies to mutual funds, corporate funds and limited liability companies that are issuers of securities.

Until the quarantine is lifted, if the general shareholder meeting is not possible to hold in-person due to restrictive measures, the new law provides the possibility of holding the general meeting remotely, utilizing the mechanism proposed by the Central Depository, that will guarantee shareholders and their representatives submit their votes to the issuers remotely through a network of depository institutions (custodians) that maintain a securities account for a given shareholder.

The preparation of these amendments to the legislation took place with the participation of the National Securities and Stock Market Commission (NCSSMC), in particular, taking into account the proposals of the National Depository of Ukraine on the introduction of a mechanism of holding general meetings using remote voting.

The new remote voting system will be developed by NDU on the basis of the currently functioning “Client Portal” web-service, in particular by creating an additional service the “Meeting Portal”, which will be integrated with the DEPEND software – core CSD system.

Currently, the National Securities and Stock Market Commission is actively working on the preparation of the Provisional Procedure for convening and remotely holding a general meeting of shareholders. After the approved procedure comes into force, the Central Depository will ensure the implementation of the general meeting mechanism with the use of remote voting as soon as possible.

 

For more information contact: pr@csd.ua

 

General Information 

National Depository of Ukraine was established according to the Law of Ukraine ‘On National Depositary System and Peculiarities of Electronic Circulation of Securities in Ukraine’ to ensure functioning of a single depositary record-keeping system.

On December 18, 1998, the Securities and Stock Market State Commission and the National Bank of Ukraine signed an Agreement on Establishing the National Depository of Ukraine. NDU registration with the State took place on May 17, 1999.

NDU share capital makes up UAH 103 200 000. The State represented by the National Securities and Stock Market Commission owns 25 % of shares. In addition, the National Bank of Ukraine owns 25 % of NDU shares.

Until October 12, 2013, National Depository of Ukraine was exercising professional activity on the stock market on the grounds of licenses issued by  the Securities and Stock Market State Commission — a ten-year valid license for exercising depositary activity of a securities depository and a ten-year valid license for exercising clearing and settlement activity.

On October 12, 2013, the Law of Ukraine ‘On Depositary System of Ukraine’ came into force (hereinafter - the Law).

CSD provides for the securities depositary record-keeping system setting-up and functioning.

CSD keeps depositary records of all eligible securities, except for those, records of which are kept by the National Bank of Ukraine within the terms of reference defined by this Law.