At next week’s general meeting Bank Hapoalim (TASE: POLI) shareholders will be asked to choose four directors from six candidates. Two regular directors from three candidates: Prof. Stanley Fischer, Israel Trau and Tamar Bar-Noy Gotlin; and two external directors from three candidates: two serving directors Dalia Lev and Ronit Abramson and former MK Esawi Frej looking to be elected to the board for the first time.
Fischer wanted to succeed Oded Eran as Hapoalim chairman
It is too early to be certain about the results, but the consensus among the advisory bodies is that former Bank of Israel Governor, US Federal Reserve vice chair and Citigroup deputy chairman Stanley Fischer will be elected to the Hapoalim board. Both Entropy and ISS reportedly support Fischer and Entropy believes he wants to eventually become chairman, even if he has not publicly declared so. Abramson is also expected to get the nod to continue as an external director.
This follows unprecedented controversy following the untimely death of former chairman Oded Eran and his swift replacement by Reuven Krupik. Fischer’s election to the board will herald major change for the bank even if he does not attempt to become chairman. Hapoalim has already undergone changes since former CEO Arik Pinto stepped down last year.
Hapoalim has no controlling core which means that the shareholders, mainly institutional investors, dictate the bank’s direction. In Hapoalim this also includes overseas institutional investors, which is also in Fischer’s favor.
Published by Globes, Israel business news – en.globes.co.il – on October 15, 2020
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