The annual meeting of media company NZME has rubber stamped a compromise deal allowing an activist shareholder onto its board.
A former National government minister has also been appointed as its chairperson, with the existing board kept largely intact.
Auckland-based Canadian businessman Jim Grenon bought a stake in the company and launched a bid at the start of the year to replace the current board with himself and three associates.
But he ended up accepting a truce in which he alone got a seat, and Steven Joyce took over as chairperson.
Grenon told the meeting that his move to shake up the company was audacious.
“It seemed to me that things were drifting downhill, from my perspective in any event and these are often subjective, particularly on the editorial front, and I thought maybe I can sort of jump start something here and I’m very, very delighted with the way things worked out.”
Grenon gained 83% shareholder support with about 14% voting no. Joyce was voted in with more than 93% support.
Shareholders concentrated their sometimes rambling questions on Joyce and Grenon, including inquiries about a proposed editorial advisory board that would have oversight on the group’s news operations, which include the New Zealand Herald and Newstalk ZB.
Joyce said the refreshed board of directors would bring “fresh eyes” to editorial operations, but would not interfere on individual items, and editorial boards were not uncommon overseas.
“I wouldn’t fear it. It’s an opportunity to debate editorial policy, an opportunity to support the development of editorial policy.”
Grenon said an editorial board would allow them to look over the shoulders of staff and assess them against a set of guidelines.
“If they aren’t meeting the guidelines, then we can sort of nudge in the right direction,” he told the meeting.
rnz.co.nz
