The board of Kerry Co-Op has today (Wednesday, December 14) confirmed the re-election of Denis Carroll to his position as chair.
Carroll, who runs a mixed dairy and sheep enterprise outside Killarney, was first elected chair of the board in December 2021.
Prior to this, the farmer held a seat on the co-op board for three years and was on the advisory committee for 24 years.
He has also been a prominent figure in the Irish Creamery Milk Suppliers’ Association (ICMSA), both locally and nationally.
Shareholders
The statement issued by Kerry Co-op also confirmed that a recent attempt by a group of shareholders seeking to compel the board to hold an emergency vote on a share redemption scheme issue has not met the necessary criteria.
The co-op said that the requisition to adopt a “special resolution” did not receive the necessary number of signatories for a Special General Meeting (SGM) to be held.
It added that there were technical issues “caused by lack of clarity in the wording of the resolution”.
The co-op said that the issue was identified by the Irish Co-Operative Society (ICOS).
Kerry Co-op is the largest shareholder in Kerry Group with an 11.4% stake in the company worth around €2 billion.
In April 2021, talks between Kerry Co-op and Kerry Group on a potential dairy business deal were suspended after over 18 months of discussions.
The group of shareholders are concerned that co-op funds will be substantially reduced to pay for the joint venture while shareholders with no interest in milk processing will see their value in the co-op reduced.
Including the share redemption scheme in the co-op rulebook would have the effect of ringfencing the majority of the co-op’s share capital and require the board to seek shareholder approval for any major investment.
In June, the co-op board decided against putting a planned resolution on the issue to shareholders following a legal opinion.
The board has since received fresh legal advice on the matter.
Kerry Co-op
The board of Kerry Co-op said that it is addressing shareholder concerns “as a priority”.
It is currently considering the next steps on the issues and has said that shareholders will be updated “in an appropriate manner once a decision has been made”.
Commenting on the latest developments, chair of Kerry Co-op, Denis Carroll, said:
“I am honoured to be re-elected as chairman of Kerry Co-Op for another year.
“The co-op is at an important juncture in its history and I look forward to leading the board as we navigate our shared future. We will continue to represent all shareholders of Kerry Co-Op.
“The board understands the concerns of the shareholders despite the requisition coming up short and this issue will be dealt with as a priority by the board.
“When the board agree an approach, shareholders will be consulted in a timely fashion. We appreciate the patience of our shareholders as we work towards this,” Carroll said.