Summary
United Rentals, Inc. (URI) filed an 8-K on September 14, 2016, to report amendments to its By-laws approved by the Board of Directors on September 8, 2016. The primary change implemented is the adoption of proxy access, allowing eligible stockholders to nominate directors for inclusion in the company's proxy materials. This move is significant as it grants shareholders more direct influence over board composition. The amended By-laws permit a stockholder or a group of up to 20 stockholders, holding at least 3% of outstanding common stock continuously for three years, to nominate director candidates. The number of nominees allowed is the greater of 20% of the Board or two directors. This provision aims to enhance corporate governance and shareholder engagement by facilitating the nomination of directors who may better represent shareholder interests.
Key Highlights
- 1United Rentals, Inc. adopted proxy access provisions in its By-laws.
- 2The amendments were approved by the Board of Directors on September 8, 2016.
- 3Proxy access allows eligible stockholders to nominate director candidates for inclusion in company proxy materials.
- 4The eligibility criteria require a stockholder or group (up to 20) to own at least 3% of common stock continuously for three years.
- 5The number of director nominees allowed is up to the greater of 20% of the Board or two directors.
- 6The changes aim to enhance corporate governance and shareholder participation.
- 7The full text of the amended By-laws is filed as an exhibit to this 8-K.