Kerry Stokes' Final Chapter at Seven Faces Shareholder Backlash
At Seven West Media’s annual general meeting, investors expressed growing frustration toward billionaire Kerry Stokes regarding executive compensation and the company's declining market value. After nearly fifty years in Australia's media industry and serving as one of the country's most powerful figures, Stokes appears to be concluding his role as chairman for Seven West Media.
Shareholders conveyed a blunt message: their patience is waning concerning Seven’s executive pay policies, the absence of dividends for several years, and the share price's continual decline.
Stokes' Retirement and Market Decline
Stokes, aged 85, plans to step down as chairman early next year, contingent on the approval of Seven's merger with Southern Cross Austereo. The company's share price has plummeted dramatically—down over 99% from its 2007 peak above $14 per share, a time when the broadcaster was at its zenith.
Currently, nearly two decades later, Seven West Media's influence has diminished significantly, reflected in its share price of $0.14.
Shareholder Sentiment at the AGM
During the AGM, Stokes faced simmering discontent from shareholders about the company’s shrinking market value and the slow pace of recovery.
"Patience is wearing thin for Seven’s plans on executive pay, its failure to declare a dividend in years, and a share price circling the drain."
These concerns highlight the challenges awaiting the company as leadership transitions.
Summary
Kerry Stokes’ tenure as chairman of Seven West Media is concluding amid shareholder dissatisfaction over executive pay, lack of dividends, and significant loss in market value.
Author's summary: Kerry Stokes is set to retire as Seven West Media chairman after decades in media, facing shareholder unrest tied to poor share performance and executive pay controversies.