Aimco Expands Its Commitment to Governance Enhancements
Apartment Investment and Management Company (NYSE: AIV) has announced significant changes to enhance corporate governance. Key actions include opting out of the Maryland Unsolicited Takeover Act (MUTA), declassifying the Board to require annual elections, and amending the bylaws to lower the threshold for calling special meetings to 15% of shares outstanding. These changes aim to increase stockholder rights and engagement. The 2023 annual meeting is expected to be held by the end of Q3 2023, with the 2024 meeting slated for Q2 2024.
- Commitment to improve governance by allowing annual elections for all directors.
- Lowering the threshold for stockholders to call special meetings to 15% of shares.
- Proposed amendments to eliminate super-majority requirements, enhancing stockholder rights.
- None.
- Opt Out of MUTA: The Aimco Board will, prior to the 2023 annual meeting, opt out of the provisions of the Maryland Unsolicited Takeover Act, or MUTA, including those that would otherwise allow it to re-classify the Board without the approval of stockholders.
- Declassify the Board in 2023: The Aimco Board will opt out of MUTA prior to the 2023 annual meeting and take any and all other actions necessary to ensure that all Aimco directors stand for election to annual terms at the 2023 annual meeting.
- Transition Timing of the Annual Meeting Date: The Board will move the date of the Company’s annual meeting so the 2024 annual meeting will be held by the end of the second quarter of 2024. The Board intends to hold the 2023 annual meeting by the end of the third quarter of 2023.
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Ask Aimco’s stockholders to Approve Certain Charter Amendments to Eliminate Super-Majority Requirements and Expand Stockholder Rights to Replace Directors: The Board will ask Aimco’s stockholders to, and will recommend that they, approve amendments to Aimco’s charter at the 2023 annual meeting. Once approved by stockholders this will:
- Lower the threshold required for stockholders to amend all portions of Aimco’s Bylaws to a simple majority of shares outstanding; and
- Lower the threshold for stockholders to remove directors to a simple majority of shares outstanding, eliminate the requirement that such removal be for “cause”, and allow shareholders to appoint directors to fill vacancies arising out of removals by stockholders.
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Amend Aimco’s Bylaws to Lower Threshold for Stockholders to Call a Special Meeting to
15% : The Board will, effective as of the 2023 annual meeting, amend Aimco’s Bylaws to lower the threshold for stockholders to call a special meeting to15% of shares outstanding, and also allow stockholders to amend the Bylaws to set the size or range of the size of the Board (but to no fewer than three directors).
About Aimco
Aimco is a diversified real estate company primarily focused on value add, opportunistic, and alternative investments, targeting the
Forward Looking Statements
This document contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief, or expectations, including, but not limited to, the statements in this document regarding future financing plans, including the Company’s expected leverage and capital structure; business strategies, prospects, and projected operating and financial results (including earnings), including facts related thereto, such as expected costs; future share repurchases; expected investment opportunities; and our 2022 pipeline investments and projects. We caution investors not to place undue reliance on any such forward-looking statements.
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These forward-looking statements reflect management’s judgment as of this date, and the Company assumes no (and disclaims any) obligation to revise or update them to reflect future events or circumstances.
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Sr. Director, Capital Markets and Investor Relations
(303) 793-4661
investor@aimco.com
212-929-5748
Dburch@mackenziepartners.com
212-355-4449
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