The California State Teachers' Retirement Fund (CalSTRS) has decided to vote against the appointment of Saudi Aramco's chairman as an independent director to the board of Mukesh Ambani's Reliance Industries, BloombergQuint reported.
The U.S. pension fund held 5.3 million fully and partly paid shares of Reliance Industries, as of June 30, 2020, according to the last available disclosure on its website.
CalSTRS' voting decision is based on U.S. proxy advisory research firm Glass Lewis' recommendation, BloombergQuint reported on Friday.
Reliance, owned by billionaire Ambani, had appointed Aramco's Yasir Al-Rumayyan as an independent director on July 19 in the process of formalizing a deal it had struck with the Saudi Arabian company to sell 20% stake in its oil-to-chemicals business.
The shareholders' voting process to confirm Al-Rumayyan's appointment as independent director, for a period of three years, will end on Oct. 19.
Glass Lewis, which makes voting recommendations to more than 1,200 investors across the world, had recommended voting against Al-Rumayyan "based on the director's status as an independent director" of RIL, the report added.
Reliance, CalSTRS and Glass Lewis did not immediately respond to Reuters requests for a comment.
The Indian conglomerate had announced the sale for $15 billion in 2019 to Aramco, the world's top oil exporting firm, though the deal was stalled after the coronavirus crisis dented oil prices and fuel demand.
Last month, Bloomberg News reported that an agreement between Reliance and Aramco could be reached in the coming weeks. At Aramco's earnings briefing in August, Chief Executive Officer Amin Nasser had said the company was still doing due diligence on the Reliance deal.
Al-Rumayyan is the chairman of Aramco's Board of Directors and has been the governor of the Public Investment Fund of Saudi Arabia since 2015.
Recommended Reading
Entergy Picks Cresent Midstream to Develop $1B CCS for Gas-fired Power Plant
2024-09-20 - Crescent will work with SAMSUNG E&A and Honeywell on the project.
FERC Chair: DC Court ‘Erred’ by Vacating LNG Permits
2024-09-20 - Throwing out the permit for Williams’ operational REA project in the mid-Atlantic region was a mistake that could cost people “desperately” reliant on it, Chairman Willie Phillips said.
Golar LNG Enters $1.6B EPC Agreement for FLNG Project
2024-09-18 - Golar said the floating LNG vessel has a liquefaction capacity of 3.5 million tons of LNG per annum and is expected to be delivered in fourth-quarter 2027.
Bayou Midstream Secures New Equity Commitment from EIV Capital
2024-09-18 - Bayou Midstream II’s commitment from EIV Capital follows Bayou’s predecessor company's successful exit of Bakken infrastructure in 2024 to Bridger Pipeline.
Energy Transfer Says La Porte Pipeline Fire is Burning Itself Out
2024-09-18 - Analysts said they suspect that the pipeline is Energy Transfer’s Justice pipeline, and that news of the blaze has sent prices of propane and butane up since markets closed on Sept. 13.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.