AGM & EGM

An Annual General Meeting (AGM) is the shareholder meeting every listed company must hold once a financial year to approve accounts, dividends and director appointments; an Extraordinary General Meeting (EGM) is any other general meeting, called specially when a decision needs shareholder approval before the next AGM.

Under the Companies Act, 2013, the AGM covers routine but binding business: adopting audited financial statements, declaring the final dividend recommended by the board, appointing or re-appointing directors and auditors, and approving their remuneration. Notices, proxy details and later the voting results are all filed with the exchanges, so each stage shows up as a corporate announcement.

EGMs are where the non-routine action happens — approving a large fundraise, a change of auditor mid-term, related-party transactions above thresholds, or alterations to capital structure. Because an EGM exists only when something specific needs approval, the notice itself tells you what the company is planning.

Voting outcomes matter more than they used to: institutional investors and proxy-advisory firms now regularly vote against resolutions they dislike, and a defeated or narrowly-passed special resolution (which needs a 75% majority) is a real governance signal.

How stocks tend to react

Routine AGM business rarely moves stocks. Reactions cluster around contentious resolutions — a rejected remuneration or fundraise resolution, or unexpectedly high votes against the promoter's proposals — and around any strategy commentary management gives at the meeting.

MarketPing measures this instead of guessing: every analysed announcement carries the stock's actual price reaction across 14 horizons, and the Reaction Lab aggregates how each category of announcement has historically moved stocks.

Related terms

Educational content, not investment advice. Regulations and tax rules change — verify current rules before acting.