Iftar Time Ramadan 15
Lahore
LHR
06:13 PM
Karachi
KHI
06:43 PM
Islamabad
ISB
06:19 PM
Peshawar
PWR
06:25 PM
Quetta
QTA
06:43 PM
Ramadan Pedia

Nestle India shareholders vote against increase in royalty to Swiss parent

Nestle India shareholders vote against increase in royalty to Swiss parent

Business

Nestle India shareholders vote against increase in royalty to Swiss parent

Follow on
Follow us on Google News
 

MUMBAI (Reuters) - Shareholders in Nestle India (NEST.NS), opens new tab have rejected a company proposal to increase royalty payments to its Swiss parent Nestle (NESN.S), opens new tab, the company said late on Friday.

The motion called for the royalty paid to its parent to climb to 5.25% of net sales, net of taxes, compared to the current level of 4.5%. The increase was proposed at a rate of 0.15% per annum.
About 70.8% of public shareholders voted against the increase, a filing showed.

Under Indian regulations, the potential change would be classified as a related party transaction, which means that controlling shareholders were not allowed to vote.