Skip to main content

Proxy adviser Glass Lewis has urged SoftBank Group Corp shareholders to oppose the election of corporate lawyer Ken Siegel to the board of directors due to his professional ties with the Japanese conglomerate.

The opposition is one of a number of recommendations to SoftBank shareholders ahead of the group's annual general meeting on June 23, with both Glass Lewis and peer Institutional Shareholder Services (ISS) opposing elections to auditor positions over independence concerns.

Siegel is managing partner at the Tokyo office of law firm Morrison & Foerster and has worked on some of SoftBank's biggest deals, including the $40 billion sale of chip company Arm to Nvidia Corp.

"We question the need for the Company to engage in legal services with its directors. We view such relationships as creating conflicts for directors," Glass Lewis wrote in a proxy paper.

SoftBank and Siegel did not immediately respond to Reuters requests for comment.

The recommendations come amid investor concern about the independence of SoftBank's board directors and their willingness to question decisions by founder and Chief Executive Masayoshi Son.

SoftBank reported record annual earnings in the year ended March as portfolio valuations bounced back, intensifying concerns of there being less pressure on Son to listen to external views.

Both proxy advisers favour the election of the group's other proposed independent director, veteran gaming executive Keiko Erikawa, who will be the board's only woman, replacing Waseda University business professor Yuko Kawamoto.

The proposed board changes will increase the number of external directors to five from four.

Related Articles

Q&A with Edwin Northover, Debevoise & Plimpton LLP

Debevoise & Plimpton LLP won the Insurance Law Firm of the Year award at the ALB Hong Kong Law Awards 2024, apart from being the sponsor of the Insurance In-House Team of the Year award. Edwin Northover, Asia-based corporate partner and head of the firm’s financial institutions and corporate practices in Asia, talks about the firm's recent achievements, trends in the insurance industry, and future outlook for insurance law in Hong Kong.

Kramer Levin and Herbert Smith Freehills plan latest law firm mega-merger

by Reuters |

U.S. law firm Kramer Levin Naftalis & Frankel and global legal giant Herbert Smith Freehills are planning to merge to create a firm with more than 2,700 lawyers, according to a joint statement on Monday.

Tokyo International makes Singapore debut with SE Asia in its sights

by Sarah Wong |

Japanese boutique Tokyo International Law Office (TKI) is set to establish its first overseas outpost with the opening of a Singapore office in January 2025, marking a significant milestone in the rapidly expanding firm's global strategy.