ADX Runs 6 Annual General Meetings (AGM) Through Blockchain Technology

Press release

Published May 31st, 2017 - 09:32 GMT

Rashed Al Blooshi, ADX Chief Executive

Abu Dhabi Securities Exchange (ADX) recently held Annual General Meetings (AGM) for 6 listed companies (2 private joint stock companies and 4 public joint stock companies) using Blockchain technology thus enabling shareholders to overlook and participate with further transparency in all details of the meetings while using advanced e-Voting techniques.

On this occasion, Rashed Al Blooshi, ADX Chief Executive said: “I encourage the companies to use the Blockchain technology, and I am confident that more training and practice of this technology will widen the positive outcomes as well as bring more companies to use Blockchain technology. This will go in line with Abu Dhabi 2030 Economic Vision that seeks to strengthen the digital transformation in the UAE.”

ADX is the first in the MENA Region and the third globally to adopt the Blockchain technology. The launch in 2016 was part of the Exchange’s strategic innovations to further empower and strengthen the services provided by ADX to the local and foreign investors, listed companies, and stakeholders.

The Blockchain technology enables investors to use e-voting in AGMs and access statistical records of each company and its investors through smart devices. It also enables investors to vote from inside the UAE and overseas.

“I believe that the partnership between ADX and its listed companies will further solidify when the digital culture becomes a common language. This is what ADX is working on through constant training and encouragement of utilizing the new technical enhancements and technological innovations by ADX,” said Al Blooshi.

“ADX has contracted some companies to be their agent. This includes distributing dividends on their behalf and transferring it to the bank accounts of the company’s shareholders within 30 days of the AGM. It also enables ADX to manage the records and the general assemblies. Companies interested in these services must sign agreements with ADX,” Al Blooshi added.

Background Information

Abu Dhabi Securities Exchange

Abu Dhabi Securities Exchange (ADX) was established on 15th of November 2000 by Local Law No. (3) of 2000, the provisions of which vests the Market with a legal entity of autonomous status, independent finance and management, and gives ADX the necessary supervisory and executive powers to exercise its functions.

Moreover, ADX has the authority to establish centers and branches outside the Emirate of Abu Dhabi, and so far it has done so in Al Ain, Zayed City, Fujairah, Ras Al Khaimah and Sharjah.

ADX's board of directors is comprised of seven members nominated by Amiri Decree. The members of the board hold office for a term of three years. The first board of directors was constituted by Amiri Decree No. (8) of 2000.