Argosy directors seek 31% hike in fee pool to expand board

The company wants to expand its board by two directors.

Argosy Property will seek a 31 percent hike in the pool for directors’ fees at this month’s annual meeting as the company seeks to expand its board by two directors.

Shareholders will be asked to approve lifting the fee pool to $655,000 from $500,000 at the August 23 meeting in Auckland, the first lift since Argosy bought out its external management contract with ANZ-owned OnePath in late 2011.

The board expects the hike will lift the chairman’s fee by $10,000 to $130,000 and other directors will get a $2500 bump to $65,000. The remainder will go to adding two new directors.

“The company’s operations have expanded and the board continues to be active in seeking accretive growth opportunities,” the company says in its notice of meeting. “The board considers the fee increase proposed is fair and reflective of market conditions.”

Earlier this week the company raised $86.9 million from a rights issue and placement to repay debt taken on for its recent acquisitions in Wellington.

The shares rose 1 percent to 99 cents yesterday and have gained 10 percent this year.