25 November 2024
GEM
DIAMONDS LIMITED
("Gem Diamonds" or the
"Company")
AGM
Update Statement
In the June 2024 AGM results
announcement, the Board noted the proportion of votes cast against
Resolution 2, Resolution 3 and Resolution 13, the approval of the
Directors' Remuneration Policy, the approval of the Directors'
Remuneration Report and the authority for the Directors to allot
shares, respectively.
Resolution 2 represented the
three-year cycle to approve the Directors' Remuneration Policy. The
revised policy included minor amendments to the policy approved at
the 2021 AGM and is in line with UK-listed market best practice.
The Board wrote to the Company's 20 largest shareholders prior to
the finalisation of the new policy and no concerns were raised by
any of these shareholders at that time. It was therefore
disappointing that Resolution 2 only received 65.75% support. The
next Directors' Remuneration Policy review is due in 2027, and at
that time, the Board will again engage with its largest
shareholders prior to the 2027 AGM.
Resolution 3 represented the
resolution supporting the Directors' Remuneration Report, which
implemented the Remuneration Policy as approved at the 2021 AGM by
90.60%. The Board was disappointed that Resolution 3 only received
68.02% support. The Board previously discussed the Company's
remuneration structure with its largest shareholders and is aware
that one such shareholder has a materially different view on how
remuneration should be structured, and therefore the Board has not
engaged further with the shareholder but will continue to regularly
consider their views.
Resolution 13 represented the
renewal of the authority of the directors to allot shares.
Resolution 13 passed with 69.92% of participating shareholders
voting in favour. The Board acknowledges that the votes against
Resolution 13 related primarily to the votes cast by a small number
of larger shareholders. As noted in June, the resolution reflects
UK-listed company market practice, and the Board considers the
flexibility afforded by the authority to allot shares to be in the
best interest of the Company. However, the Board is aware that
certain shareholders, including a significant shareholder, have a
policy of not supporting such resolutions. In view of the
significant shareholder's position and their standing policy on
this matter, the Board and the executive management team have not
engaged in further consultation with the shareholder on this matter
but will continue to regularly consider their views.
Any further updates on communication
with shareholders on these matters, will be provided in the Annual
Report and Accounts and associated documentation.
The Gem Diamonds Limited LEI number
is 213800RC2PGGMZQG8L67.
For further information:
Gem Diamonds
Gem Diamonds Limited
Kiki Constantopoulos, Company
Secretary
Tel: +44 (0) 203 043 0280
ir@gemdiamonds.com
Celicourt Communications
Mark Antelme / Felicity
Winkles
Tel: +44 (0) 207 777 6424
About Gem Diamonds:
Gem Diamonds is a leading global
diamond producer of high value diamonds. The Company owns 70% of
the Letšeng mine in Lesotho. The Letšeng mine is famous for the
production of large, top colour, exceptional white diamonds, making
it the highest dollar per carat kimberlite diamond mine in the
world. www.gemdiamonds.com
