The members of Karachi Stock Exchange (KSE) on Tuesday elected four member directors for the next three-year term. An extraordinary general meeting of KSE members, called to elect the four member directors, was attended by 206 members either in person or through proxy. It was the first election of member directors after demutualization of stock exchanges in the country.
Those who were elected member director at the KSE board include Abid Ali Habib, Muhammad Yasin Lakhani, Abdul Majeed Adam and Muhammad Sohail. Nine candidates had submitted their nomination papers for the four seats of member directors at KSE board. Out of them three candidates withdrew their nominations and remaining six candidates contested the election.
"In accordance with the Stock Exchanges (corporatisation, Demutualization and Integration) Act, 2012, the Karachi Stock Exchange's corporate and legal structure was changed from a company limited by guarantee and it was re-registered with the name and style of "Karachi Stock Exchange Limited" as a public company limited by shares, effective from August 27, 2012", a KSE statement issued after election said.
In terms of the said Act, the new Board, which included first directors, six nominated by SECP and four nominated by KSE, took charge effective from the date of demutualization. Further, the said Act required election of directors within 30 days thereof to replace the first directors nominated by KSE. Accordingly, the election of directors of Karachi Stock Exchange Limited was held on Tuesday, September 25, 2012, to elect four directors for a term of three years to replace the first directors nominated by the Exchange under the Demutualization Act.
Out of a total of 09 candidates, 03 withdrew their nominations, leaving 06 candidates to contest the election. A total of 206 members of the Exchange attended the meeting either in person or through proxy/authorisation under Board Resolution and cast their votes, out of which 04 ballot papers were declared invalid/rejected and 202 ballot papers were declared as valid.
Based on the results, the four candidates who were declared as successful, in order of the votes secured, were Abid Ali Habib Muhammad Yasin Lakhani, Abdul Majeed Adam and Mohammed Sohail. In terms of Demutualization Act, SECP has nominated six directors on KSE Board, namely Muneer Kamal, Kamal Afsar, Shazad G Dada, Abdul Qadir Memon, Asif Qadir and Syed Muhammad Shabbar Zaidi, out of whom Muneer Kamal has been elected as Chairman of the Board.
As such, the KSE Board now comprises of six nominees of SECP, four elected directors representing shareholders and the Managing Director, by virtue of his office. The management of KSE appreciates the contribution made by the outgoing directors and welcomes the incoming directors on the KSE Board for the next term.