Ryanair, Wizz curtail non-EU voter rights, citing Brexit as cause
IRELAND's Ryanair Holdings and Hungary's Wizz Air Holdings will take away the voting rights of shareholders outside of the European Union to ensure they comply with the bloc's airline ownership rules after the Brexit transition, reports Bloomberg
05 January 2021 - 19:00
All non-EU nationals will lose their voting rights from January 1, Irish discounter Ryanair said Tuesday in a statement. Wizz said separately it would take the same step, disenfranchising a majority of its shareholders.
Airlines with a large constituency of British shareholders risk falling out of compliance with EU ownership rules at year-end. The bloc requires airlines that operate routes between two destinations within its borders to be majority controlled by EU nationals. UK citizens will no longer count as EU-based with the end of the Brexit transition.
Without any action, London-traded Wizz said that more than 80 per cent of its ownership would reside outside of the EU. It said about 60 per cent of its shareholder base would receive restricted-share notices barring them from voting or attending shareholder meetings.
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