Fondul Proprietatea’s (FP) shareholders voted the continuation of the current mandate granted to Franklin Templeton with two years, and have approved the replacement of the current administrator, Franklin Templeton Investment Management Limited United Kingdom Bucharest Branch, with another group entity “to comply with Directive 2011/61/EU regarding the managers of alternative investment funds and national laws and regulations for its implementation”, notes Mediafax.

Franklin Templeton manages FP since 2010. If the shareholders would not have decided to continue with FP, would have to decide on the procedures for the appointment of a new manager, replacing Franklin Templeton until, at the latest, May 22, 2016.

The new two-year term of Franklin Templeton starts from April 1 next year. The current mandate of two years would have expired on 30 September 2016, but because of the directive on alternative investment fund administration, must end sooner.

Also, the shareholders have authorized the administrator to sell up to 30% of total fixed assets, less the liabilities, in the financial year 2015 and financial year 2016. The authorization will expire on December 31, 2016.

The management contract demanded that during the period of October 2014 – June 2015, the discount to be up to 15% over two thirds of the meetings of this range. FP had some margin in this respect, depending on market conditions or policies of regulatory authorities.

Management Agreement provides that each year, in October, shareholders to consider and vote on the continuation or termination of the administration contract. Fund shareholders have approved the proposal to increase the monthly gross remuneration of each member of the Committee of Representatives from 15,000 lei/month to 20,000 lei/month, from 1 November 2015, and the FP budget for the year of 2016.

The projection of revenues and expenses budget provides for revenues from dividends of 567.5 million lei, down from 598.3 million lei estimated for the current year, and a net profit of 454 million lei, 3 % less than the 468.4 million lei for the current year.

It was also approved a new buy-back program, in which the Fund is able to make purchases within 18 months of its publication in the Official Gazette, but not if the shares held by the company exceed 10% of subscribed share capital at the relevant time.