TOKYO, May 25 (Pulse News Wire) – The Ehime Bank,ltd. (8541.T) held its board meeting on May 25, during which it decided to oppose a shareholder proposal set to be exercised at its 122nd regular shareholders' meeting scheduled for June 26, 2026.
The bank received the proposal on April 14, 2026. The proposal suggested revising the criteria for holding specific investment shares and deemed shares lacking societal norms and corporate ethics should not be held. It specifically targeted DaiKiAxsis Co., Ltd., citing excessive executive compensation for Chairman Kame and President Kame, amounting to approximately 2.5 billion yen combined. In fiscal year 2025, despite revenues of around 1489 million yen and net profits of about 350 million yen, Chairman Kame received 1.5 billion yen while President Kame received 1.4 billion yen in remuneration.
The shareholder argued that such high compensation was unjustifiable and criticized the bank's investment policy, noting that Ehime Bank holds approximately 4.0% of DaiKiAxsis stock worth about May 25, 2026. In response, the board stated that it opposes the proposal based on its fundamental principles of corporate governance aimed at enhancing long-term corporate value. They also mentioned conducting annual reviews of their holdings according to established standards, engaging in dialogue with investee companies, and reducing investments deemed unsuitable. However, the board believes that detailed operational matters such as divestment strategies should not be codified in the articles of incorporation, thus rejecting the proposed changes.
The bank emphasized that it adheres to ethical standards and maintains rigorous oversight over its investments, advocating for more cautious selection processes moving forward.
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