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What is a Dissident Director? The Board of Directors of a company usually reaches a consensus the majority of the time in order to decide on polici...
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Finance: What is a Dissident Director? 4 Views
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Description:
What is a Dissident Director? The Board of Directors of a company usually reaches a consensus the majority of the time in order to decide on policies to move forward. There are occasions, however, when a Director opposes the other board members and proposes other policies that lack the support required to be enacted in a vote. Such a director is referred to as a Dissident Director. Sometimes the dissent can be reasoned and amicable, but other times it can be contentious and become acrimonious.
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- Finance / Financial Responsibility
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- Life Skills / Personal Finance
- Finance / Finance Definitions
- Life Skills / Finance Definitions
- Finance / Personal Finance
- Courses / Finance Concepts
- Subjects / Finance and Economics
- Finance and Economics / Terms and Concepts
- Terms and Concepts / Incorporation
- Terms and Concepts / Regulations
- Terms and Concepts / Tax
Transcript
- 00:00
Finance allah shmoop What is a dissident director Well everyone
- 00:08
else wanted diet but thiss guy well he just insisted
- 00:12
on regular he's the dissident going against the state against
- 00:17
the tide against the vote while a dissident director is
- 00:21
a member of the board who either votes against the
Full Transcript
- 00:24
set of new mandates that everyone else went thumbs up
- 00:29
on and or who initiates her own vote which is
- 00:33
pretty much the opposite of what everyone else wants You
- 00:36
know we know people like that like maybe they voted
- 00:39
to replace all the toilets in the corporate washrooms with
- 00:42
today's It's happened Really In real life a dissident director
- 00:46
can dissent against popular board vote in things like the
- 00:50
company accepting a takeover bid at fifty eight bucks a
- 00:54
share in stock Well that dissident director might demand that
- 00:58
the takeover dobie paid in cash because well she doesn't
- 01:02
trust the stock market's appraisal of the valuation of the
- 01:05
stock currency being used to take over their company Well
- 01:09
another descent might revolve around a company seeking toe over
- 01:13
pay for an acquisition Like that dissident director might be
- 01:16
the lone rational voice suggesting that they not pay Ah
- 01:20
Hundred times revenue to take out a competitor And the
- 01:24
dissident director may also come from an operational perspective In
- 01:28
that they want to fire the ceo for poor performance
- 01:31
whereas the rest of the board loves being on the
- 01:33
ceo's good side for the selfies and you know all
- 01:36
the good instagram ingredients Well sometimes all it takes is
- 01:39
one brave soul to go against the crowd although when
- 01:42
it comes to the diet coke thing it might just 00:01:45.209 --> [endTime] be better toe Pick your battles
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