OTP Bank has proposed the change of the By-Laws concerning voting rights, to be discussed on the AGM on April 27. The most important point expected to be abandon is the limitation of the non-resident (foreign) shareholders whose aggregate voting rights on the AGM, according to the current By-Laws, may not exceed 50% of the total voting rights represented by the shares entailing voting rights. This limitation was set to be implemented by the delegate of the Board of Directors during the registration process of the AGM.
Our view: As the change in the By-Laws may lead to the intensification of speculations concerning a takeover of OTP Bank, the news could have some positive trading impact on the stock price. OTP Bank has left unchanged the article concerning the limitations of voting rights exercised directly or indirectly by any individual shareholder, which may not exceed 25% (or in case the voting rights of another shareholders exceeds 10% it may not exceed 33%) of the total voting rights represented by the shares entailing voting rights at the AGM.