Amid yesterday’s stock rally, the denial of rumors regarding interest from a foreign fund, and the bonus for Giorgos Apostolopoulos that could reach 20 million euros, the Athens Medical Group held its annual general meeting earlier on Friday.
The most hotly debated item on the agenda—the revision of the compensation policy for members of the board of directors and the CEO—was approved by a margin of just 57.8%, while the other items were approved by overwhelming majorities of up to 100%. This means that a significant portion of the shareholders did not support the amendment, which paves the way for the former chairman and current honorary chairman, George Apostolopoulos, to receive compensation of up to 120 months’ salary, an amount approaching 20 million euros.
Based on the shareholder composition and the voting results, it is estimated that among those who voted against the proposal was the German Asklepios Group, which holds a 36% stake. However, when asked by Euro2day.gr which shareholders did not vote in favor of the proposal, management declined to provide a clear answer.
The group’s chairman, Vasilis Apostolopoulos, responding to a shareholder’s question, acknowledged that compliance with the minimum shareholding dispersion requirements is a matter of concern for management. “Share distribution is a concern for us, but at this time I cannot say that we have the answer. What we are seeking is to secure an extension so that we can determine how to address the issue.”
He added: “From the family’s perspective, there is no intention to sell shares, nor is there any intention to launch a public tender offer. We will need to work with the other shareholders to determine how the issue of share dispersion can be resolved.”
Referring to the stock, he spoke of speculation. “In recent months, I’ve noticed an attempt at speculation regarding the stock, with some people anticipating a public tender offer. Obviously, I believe the stock deserves higher levels, but that’s not the right way to go about it. It takes patience, persistence, and time, and I believe we’ll find a solution,” he said.
Another focal point of the meeting was the provision for a bonus of up to 20 million euros for the group’s founder, George Apostolopoulos. Management maintained that this is not a new decision, but a provision that has been approved at previous general meetings and stems from contractual obligations.
It further clarified that current economic conditions do not allow for the immediate payment of the amount. According to management, this will take place at a later date, in installments, following a relevant decision by the Board of Directors, and up to the amount of 20 million euros.
Referring to the dividend policy, Mr. Apostolopoulos acknowledged that the non-payment of dividends also affects major shareholders, expressing the view that improved financial performance will create greater scope in the future for both shareholders and executive compensation.
Regarding the new hospital facility in Elliniko, management reiterated that the timeline depends on the progress of Lamda Development’s overall investment. As noted, no significant disbursements have been made to date, while the goal is for construction work to begin toward the end of the year, last approximately two years, and be completed by the end of 2028.