Tumultuous general assembly for Ahold Delhaize

Ahold Delhaize CEO Dick Boer’s final general assembly was rather tumultuous, because of the “protection wall” that should guard the supermarket giant from hostile takeovers.

‘Poison pill” has impact on stock exchange

The main question at the general assembly was who will decide whether or not to extend the infamous “protection wall”, also known as the “poison pill” internally. The question is obvious: Ahold Delhaize’s board itself.

Many shareholders did not approve, because they feel they are being bypassed. Their sentiment is that, for two years, Ahold Delhaize made it look like the shareholders would be able to vote on it during the general assembly. However, in February, the company said only the board could decide whether to extend the protection wall.

The entire debate revolves around Stichting Continuïteit Ahold Delhaize’s option to acquire so-called preferential shares (shares with more rights) when an unwanted buyer wants to acquire Ahold Delhaize. This allows the Stichting to block any hostile takeover, but many shareholders feel that this will negatively impact its share value and scare off potential buyers. However, they failed to gain a majority when it came to a vote.

Wouter Kolk appointed

There was less fuss about Wouter Kolk’s appointment to its senior management: Albert Heijn’s CEO, who recently because the Netherlands and Belgium’s operational director, will become Europe’s operational director next year, thanks to a 99.98 % vote from the shareholders.

It was also Dick Boer’s final general assembly, after a seven-year stint at the head of the distributor. He also helped merge Ahold and Delhaize, because Dutch Frans Muller will succeed him on 1 July. Next year’s general assembly will vote on Muller’s mandate extension for another four years. The former Delhaize CEO will be able to lead the company for six years in total.