Click here to close now.

SYS-CON MEDIA Authors: Carmen Gonzalez, Liz McMillan, Pat Romanski, Marty Puranik, Marco Meinardi

News Feed Item

Leading Corporate Governance Research Firm, ISS, Endorses Management of Sanyang Industry (TPE:2206):

Sanyang Industry Co. Ltd. (TPE:2206) announced today that a leading proxy and corporate governance research firm, Institutional Shareholder Services (“ISS”) has recommended that shareholders vote Unanimously WITH Management on ALL agenda items, to vote FOR ALL MANAGEMENT Board Director and Supervisor candidates proposed by the Management, and to unanimously vote AGAINST ALL DISSIDENT candidates and resolutions proposed by the dissident shareholder group at the company’s upcoming June 18th annual shareholders’ meeting.

The ISS report analysed that a dissident group is trying to take control of the board and change the management but that there is “no compelling case why change is needed.” The report states that upon dissident members for the first time becoming board directors in 2011, the dissident directors, Chin-Yuan Wu and Lichuan Gao, then “had three years to demonstrate their ability to create value for shareholders.” However from high performance in 2011, “the company performance had worsened since they (Chin-Yuan Wu and Lichuan Gao) joined the board. Further, none of the (dissident) nominees have relevant industry skills and it is unclear how these candidates would create value for shareholders. Given the above concerns, a vote AGAINST ALL DISSIDENT nominees and FOR ALL MANAGEMENT nominees is warranted.”

ISS further noted a key complaint made to ISS by the dissident group about the management, regarding the attempt by current management to gain higher profit apportionment ratio on the Neihu Land Development Project with Mei Fu Development Co.,Ltd. (“Mei Fu”) through arbitration (from the current 46%:54%, Sanyang Group: Mei Fu). The dissident group complained to ISS that the dissident group believes apportionment ratio should remain unchanged even though the current apportionment ratio greatly undervalues the Neihu land owned by Sanyang Group and that the arbitration fee of TWD 10 million is a waste of company money. On this issue, the ISS report wrote, “Pursuing court arbitration for the Neihu land agreement may have cost the company TWD 10 million in fees, but such amount is negligible considering the value of the land and what the company could stand to gain. Between 2007 and 2013, the value of Neihu land has increased by TWD 7.1 billion. Attempting to gain a better bargain rather than leaving such a substantial value on the table is reasonable and is in shareholders’ interest.”

Sanyang Board Chairwoman, Ms. Y. M. Huang expressed, “I am very gratified to learn of the international community’s analysis and full support of our leadership team. Such a report from a well-respected, independent, international corporate governance research firm such as ISS, is a strong validation that the current management’s leadership direction, discipline, head, and heart are all in the right place.” She added further, “Despite distractions and disruptions from the dissident group over the last three years, the management and all our employees have been unwavering in our single-minded determination to fight for the best interest and long-term shareholder value of all our stakeholders. The main pillars of our value creation plan include: (1) optimization of our core business operations; (2) improved capital structure management; and (3) strengthened measures of corporate governance and management transparency. Our board director and supervisor candidates for the upcoming June board election, were carefully selected based on the breadth and depth of expertise, diversity, independence and integrity necessary to execute our three-pillar plan. As further demonstration of our single-minded focus on our core business and commitment to our shareholders only, we have asked shareholders to vote AGAINST RELEASE of board directors from non-compete restriction. Our request contrasts clearly from that of the dissident group who has asked FOR release of non-compete restriction on their candidates so that they may have positions in other companies where their activities may conflict or compete with Sanyang’s.” The Chairwoman concluded, “We are truly grateful to our shareholders for the support of our common vision and our proposed candidates to execute the vision. We will continue to be tireless and fearless in delivering long-term sustainable growth in our core business for the full benefit of all our shareholders!”

On the agenda to release board directors from non-compete restriction, ISS report recommends AGAINST the release. The report comments that, “as the dissident group’s objectives are unclear, non-compete restrictions could, if any of their nominees are elected to the board, provide some safeguard to shareholders’ interest.”

More information regarding the shareholders’ meeting is available on the Sanyang Industry IR web page. For English, please go to http://www.sanyang.com.tw/en/news/index.php?cat=2.

For Chinese, please refer to http://www.sanyang.com.tw/finance/con_show.php?op=showone&cid=6

About Sanyang Industry

Sanyang Industry Co., Ltd., founded 60 years ago in 1954 by the grandfather of current Chairwoman, is the sole international enterprise in Taiwan that manufactures and sells both motorcycles and automobiles. Its manufacturing and sales network covers over 75 countries. Over the past half century, Sanyang has built an extensive sales and service network and has established strong alliances with other world class corporations. In the process, the Company has developed a deep roster of management talent and strong devotion from customers loyal to its brand. In a hyper-competitive era, the Company has maintained its roots firmly in Taiwan, while basing its blueprint for expansion on innovation, excellence and commitment to the greater good of human society.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
Wearable devices have come of age. The primary applications of wearables so far have been "the Quantified Self" or the tracking of one's fitness and health status. We propose the evolution of wearables into social and emotional communication devices. Our BE(tm) sensor uses light to visualize the skin conductance response. Our sensors are very inexpensive and can be massively distributed to audiences or groups of any size, in order to gauge reactions to performances, video, or any kind of present...
Hadoop as a Service (as offered by handful of niche vendors now) is a cloud computing solution that makes medium and large-scale data processing accessible, easy, fast and inexpensive. In his session at Big Data Expo, Kumar Ramamurthy, Vice President and Chief Technologist, EIM & Big Data, at Virtusa, will discuss how this is achieved by eliminating the operational challenges of running Hadoop, so one can focus on business growth. The fragmented Hadoop distribution world and various PaaS soluti...
Even as cloud and managed services grow increasingly central to business strategy and performance, challenges remain. The biggest sticking point for companies seeking to capitalize on the cloud is data security. Keeping data safe is an issue in any computing environment, and it has been a focus since the earliest days of the cloud revolution. Understandably so: a lot can go wrong when you allow valuable information to live outside the firewall. Recent revelations about government snooping, along...
The Workspace-as-a-Service (WaaS) market will grow to $6.4B by 2018. In his session at 16th Cloud Expo, Seth Bostock, CEO of IndependenceIT, will begin by walking the audience through the evolution of Workspace as-a-Service, where it is now vs. where it going. To look beyond the desktop we must understand exactly what WaaS is, who the users are, and where it is going in the future. IT departments, ISVs and service providers must look to workflow and automation capabilities to adapt to growing ...
SYS-CON Events announced today that Dyn, the worldwide leader in Internet Performance, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Dyn is a cloud-based Internet Performance company. Dyn helps companies monitor, control, and optimize online infrastructure for an exceptional end-user experience. Through a world-class network and unrivaled, objective intelligence into Internet conditions, Dyn ensures...
Business and IT leaders today need better application delivery capabilities to support critical new innovation. But how often do you hear objections to improving application delivery like, “I can harden it against attack, but not on this timeline”; “I can make it better, but it will cost more”; “I can deliver faster, but not with these specs”; or “I can stay strong on cost control, but quality will suffer”? In the new application economy, these tradeoffs are no longer acceptable. Customers will ...
Red Hat has launched the Red Hat Cloud Innovation Practice, a new global team of experts that will assist companies with more quickly on-ramping to the cloud. They will do this by providing solutions and services such as validated designs with reference architectures and agile methodology consulting, training, and support. The Red Hat Cloud Innovation Practice is born out of the integration of technology and engineering expertise gained through the company’s 2014 acquisitions of leading Ceph s...
The free version of KEMP Technologies' LoadMaster™ application load balancer is now available for unlimited use, making it easy for IT developers and open source technology users to benefit from all the features of a full commercial-grade product at no cost. It can be downloaded at FreeLoadBalancer.com. Load balancing, security and traffic optimization are all key enablers for application performance and functionality. Without these, application services will not perform as expected or have the...
VictorOps is making on-call suck less with the only collaborative alert management platform on the market. With easy on-call scheduling management, a real-time incident timeline that gives you contextual relevance around your alerts and powerful reporting features that make post-mortems more effective, VictorOps helps your IT/DevOps team solve problems faster.
As organizations shift toward IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. CommVault can ensure protection &E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise. In his session at 16th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Partnerships, will disc...
Skytap Inc., has appointed David Frost as vice president of professional services. David joins Skytap from Deloitte Consulting where he served as Managing Director leading SAP, Cloud, and Advanced Technology Services. At Skytap, David will head the company's professional services organization, and spearhead a new consulting practice that will guide IT organizations through the adoption of DevOps best practices. David's appointment comes on the heels of Skytap's recent $35 million Series D fundin...
Cloud data governance was previously an avoided function when cloud deployments were relatively small. With the rapid adoption in public cloud – both rogue and sanctioned, it’s not uncommon to find regulated data dumped into public cloud and unprotected. This is why enterprises and cloud providers alike need to embrace a cloud data governance function and map policies, processes and technology controls accordingly. In her session at 15th Cloud Expo, Evelyn de Souza, Data Privacy and Compliance...
Skeuomorphism usually means retaining existing design cues in something new that doesn’t actually need them. However, the concept of skeuomorphism can be thought of as relating more broadly to applying existing patterns to new technologies that, in fact, cry out for new approaches. In his session at DevOps Summit, Gordon Haff, Senior Cloud Strategy Marketing and Evangelism Manager at Red Hat, will discuss why containers should be paired with new architectural practices such as microservices ra...
Roberto Medrano, Executive Vice President at SOA Software, had reached 30,000 page views on his home page - http://RobertoMedrano.SYS-CON.com/ - on the SYS-CON family of online magazines, which includes Cloud Computing Journal, Internet of Things Journal, Big Data Journal, and SOA World Magazine. He is a recognized executive in the information technology fields of SOA, internet security, governance, and compliance. He has extensive experience with both start-ups and large companies, having been ...
There are many considerations when moving applications from on-premise to cloud. It is critical to understand the benefits and also challenges of this migration. A successful migration will result in lower Total Cost of Ownership, yet offer the same or higher level of robustness. In his session at 15th Cloud Expo, Michael Meiner, an Engineering Director at Oracle, Corporation, will analyze a range of cloud offerings (IaaS, PaaS, SaaS) and discuss the benefits/challenges of migrating to each of...