Proxy advisors rule against pact between DOMS promoters

Stationery major DOMS Industries Ltd wants to return to the status quo it had before its public markets debut in 2023, where its two sets of promoters have an agreement on board appointments, sharing of information, exclusivity to certain markets, and a veto on key company decisions.

- Nehal Chaliawala

Italian stationery and art supplies maker Fabbrica Italiana Lapis ed Affini SpA (FILA) is one of the promoters. The other set of promoters, who are based in India, include Santosh Raveshia, Sanjay Rajani, Ketan Rajani and Chandni Somaiya, among others. Together, the two promoters groups own 70.39% of the company's shares.

However, three proxy advisory firms have recommended that shareholders vote against three resolutions put forth by the company that would enshrine this pre-initial public offering (IPO) agreement between its promoters into its articles of association.