Tags: Netflix | Investors | Share Increase | Planned Split

Netflix Investors Approve Share Increase Tied to Planned Split

Wednesday, 10 Jun 2015 08:42 AM

Netflix Inc. investors approved a proposal to increase the company’s authorized shares outstanding, paving the way for a split of the best-performing stock in the Standard & Poor’s 500 Index.

Stockholders at the Netflix annual meeting Tuesday in Los Gatos, California, also backed a nonbinding proxy-access proposal by New York City municipal pension funds designed to give investors more ability to nominate directors.

Chief Executive Officer Reed Hastings said in April he planned to recommend a stock split to the board and that a lower price would make the stock more accessible. Netflix said in a filing around that time that it didn’t have any plans to issue shares for mergers or to raise money.

The company was asking investors to boost the authorized shares outstanding to about 5 billion from the 170 million authorized now, including preferred stock.

Investors approved a proposal that would give stockholders with 3 percent or more of the stock for three continuous years the ability to nominate up to 25 percent of the board members. The measure, proposed by the New York City Employees’ Retirement System and the city’s other municipal pensions, was opposed by Netflix.

Investors elected three new members to the company’s board: Richard Barton, executive chairman of Zillow Group Inc.; Brad Smith, Microsoft Inc.’s general counsel; and Anne Sweeney, former president of the Disney/ABC Television Group.

Netflix, the largest online subscription video service, rose 3.2 percent to $647.15 at the close in New York. The stock has gained 89 percent this year, giving it a market value of $39.2 billion.

 

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Netflix Inc. investors approved a proposal to increase the company's authorized shares outstanding, paving the way for a split of the best-performing stock in the Standard Poor's 500 Index.Stockholders at the Netflix annual meeting Tuesday in Los Gatos, California, also...
Netflix, Investors, Share Increase, Planned Split
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2015-42-10
Wednesday, 10 Jun 2015 08:42 AM
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