In light of the recent spike of COVID-19 cases, live-stream-aided shareholder meetings are becoming a popular option for listed companies in Taiwan. Live-streamed shareholder meetings are not geo-restricted by the pandemic and can help maintain smooth communication with the shareholders.

Under the authority’s supervision, TDCC established a live streaming platform in 2021, which bridges public-listed companies and their shareholders during the pandemic. The platform brings live-streamed shareholder meetings into a new era.

Responding to growing demand, the Financial Supervisory Commission has revised Company Act as well as articles of Regulations Governing the Administration of Shareholder Services of Public Companies. Companies can now specify in their articles of association whether they will hold a physical shareholder meeting with the assistance of a live streaming platform (hybrid), or a video-conferencing shareholder meeting (digital).

The FSC has released a revision draft to Regulations Governing the Administration of Shareholder Services of Public Companies, and public hearings have been held. Official announcements are expected by the end of February.

In order to encourage adoption of the live streaming platform, companies are not required to revise their articles of association this year before using it alongside a physical shareholder meeting, provided that a supermajority resolution is passed by the board of directors. Any listed company that decides to use the live streaming platform for its shareholder meeting will have one extra point added to its total of the Corporate Governance Evaluation results. “Hybrid”shareholder meetings are currently quite common in many countries. Adopting the same method allows Taiwanese companies to connect with the world, stay ahead of the market, and increase shareholder participation.

TDCC President Han-Chiang Chu said the live streaming platform offers multiple benefits. Besides being an alternative for shareholder participation, it also allows for more shareholder activism and helps companies gain points for their Corporate Governance Evaluations. The platform, in addition, eliminates the need for crowding gatherings. Any company wishing to utilize the live streaming platform this year must not have over-elected or discharged directors at shareholder meetings this year. In addition, if the company is publicly-listed, it must have a shareholder service agent.

Numerous large corporations and financial institutions have expressed interests in holding shareholder meetings with the live streaming platform. For more information about the platform, please contact the Shareholder Service Department of TDCC at (02) 2719-5805 ext. 222, 139, 280, 382, 109.