Fondul Proprietatea: The appointments of CA members at Bucharest airports are not credible. Most of the proposed candidates have no experience and are politically connected – Finance & Banking

Fondul Proprietatea (Fondul) expresses its concern over the outcome of the selection process for the appointment of new members to the Board of Directors of Bucharest Airports, for a period of four years, as stated in a press release from the Fund. According to him, the selection process was not rigorous, resulting in non-credible applications. Shareholders are expected to vote on the nomination of selected candidates during the general shareholders’ meeting, scheduled for November 2, 2020.

• The selection process was not relevant or coherent as it was led by three different HR consultants. The consultation of human resources that concluded the last phase of the selection procedure, PricewaterhouseCoopers Tax Advisors & Accountants SRL, did not have the mandate to intervene on the long list of candidates resulting from the first phases of the selection process, which led to a short inappropriate list;
• the selection procedure did not include an active search phase for the best available candidates carried out by human resources professionals, carried out exclusively through the publication of a call for recruitment of candidates;

• the submission of applications was characterized by an excess of bureaucracy, which discouraged potential suitable candidates from participating in the selection process;
• the selection process did not materialize by selecting candidates who have the experience and the necessary qualities to manage a company with a level of complexity such as Bucharest airports;
• the candidates classified as the most suitable for the selection process do not meet the independence criterion;
• none of the candidates proposed has the relevant experience to support the company’s objective of attracting financing from institutional investors for the construction of a new terminal, by listing the company on the stock exchange.

“Through the selection process, in which the corporate governance legislation was respected only in theory, in practice the optimal result was not achieved, namely the search for the most suitable candidates for the Board. The fund found that most of the proposed candidates have no relevant management experience and are not independent, most of them are politically connected or affiliated, “the document states.

Fondul Proprietatea asks the Ministry of Transport, Infrastructure and Communications not to approve the appointment of the members of the Board of Directors of Bucharest Airports for a period of four years and to resume the selection process for the entire Board of Directors.

“Candidates with proven track record and no political influence should be given priority in supporting Bucharest airports to go through this uncertain period and develop their potential. The company has ambitious corporate and investment plans, including public listing. that can only be done if managed by the right professionals, “said Johan Meyer, CEO of Franklin Templeton Investments and Portfolio Manager of Fondul Proprietatea.