Shire shareholders approve remuneration report, but only just

Shire shareholders voted to approve the pay of the drug maker’s top directors on Thursday, but only just.

At the annual general meeting in Dublin, 50.55% of shareholders voted to approve the directors’ remuneration report.

“We have engaged extensively with our major shareholders on the remuneration report and acknowledge the vote today. We remain firmly committed to a constructive and appropriate dialogue to fully understand shareholder views as we compete in a global market place,” the company said.

Ahead of the AGM, shareholder advisory groups Institutional Shareholder Services and Glass Lewis expressed concern over the scale of the chief executive’s pay rise, advising Shire investors to vote against the remuneration report.

ISS pointed out the decision to award chief executive Flemming Ornskov a 25% pay rise last July would increase future bonus payments, as base pay is used as a starting point.

Also on Thursday, Shire said non-executive director Olivier Bohuon has been appointed as a member of the Remuneration Committee with immediate effect.

At 1440 BST, Shire shares were down 1% to 4,135p.