SA Home Loans leads the way with e-Voting
Strate’s e-Voting platform has reached another significant milestone. SA Home Loans, through its Amber House Fund 6 RMBS programme, has become the first issuer, besides Strate, to conclude a consent meeting on Strate’s e-Voting platform.
The meeting was held on 3 August, with 91 % of the votes received digitally through the platform.
In 2001, SA Home Loans pioneered a new way of funding home financing in South Africa, by linking clients directly to the capital markets through the issuance of residential mortgage-backed securities to capital market participants. Since then, SA Home Loans remains the most prolific issuer of residential mortgage-backed securities in the South African debt capital markets.
Abdul Khaliq Ismail, Head: Treasury and Debt Capital Markets at SA Home Loans
“I am pleased to share our experience as the inaugural client of Strate’s new e-Voting system. As pioneers in this innovative endeavour, we have witnessed first-hand the transformative power it brings to the noteholder voting process. From the outset, the e-Voting system demonstrated its remarkable efficiency and user-friendly interface. The platform’s intuitive design made participation in the voting process accessible to all our noteholders, regardless of their technical background. This inclusivity was a significant step towards enhancing noteholder engagement during the process.
“The electronic voting system greatly streamlined the administrative aspects of the voting process. The reduction in manual paperwork, coupled with the seamless automation of vote tabulation, not only saved valuable time but also reduced the potential for human errors.
“As a result, we observed a significant reduction in the turnaround time for voting results, providing stakeholders with timely and decision-useful updates. It is also worth noting that Strate’s support was unwavering throughout our journey. Their responsiveness to our inquiries and dedication to resolving any challenges reaffirmed our confidence in the system’s capabilities.”
As Strate’s e-Voting platform caters for nominee structures, voting control is in the hands of the beneficial owners of shares, who are the ultimate owners of the company, and not the intermediaries.
Traditionally, shareholder votes go through a multi-level process via various intermediaries, before reaching the issuer. This takes time, increases the risk of human error, and does not give investors a direct communication line to the company they are invested in.
Gregory Naicker, Head of CSD Services, says: “The notes issued by Amber House Fund 6, which are fully dematerialised, gave us a perfect opportunity to execute a consent meeting through the e-Voting platform. By assigning the rights to the parties responsible, the proposed amendments received 91% approval through the platform. The issuer received feedback quickly, with no risk of human error or the delays they would have experienced if they had used a manual, multi-level process.”
Congratulations to SA Home Loans and the users of the e-Voting platform.
Should you have any queries about our e-Voting offering, please contact CSD Services CSD-Services@strate.co.za.
