Prudential Gets ‘No Action' Relief on Chevedden Proposal

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By Che Odom

Jan. 5 — Prudential Financial Inc.'s shareholders will not be voting on a proposal this year asking the board to grant them the right to act by written-consent voting in lieu of a meeting, thanks to a determination by staff at the Securities and Exchange Commission.

The resolution was submitted to the company in November by activist investor John Chevedden. However, the necessary evidence of requisite stock ownership was not submitted to the company within the time allotted under SEC Rule 14a-8(b), Prudential Financial said in a letter to the SEC.

In its “no action” response, the SEC's Division of Corporation Finance agreed with Prudential, adding that the financial services company appeared to have grounds to exclude the item from its proxy materials.

Frequent Filer

According to the Manhattan Institute's Proxy Monitor, Chevedden was the most frequent filer of shareholder proposals in 2015.

A number of the resolutions called for written-consent voting, but shareholders at Advance Auto Parts Inc., United Continent Holdings Inc., Priceline Grp. Inc., Verisign Inc., Con-way Inc., Quest Diagnostics Inc. and CF Industries Holdings Inc. voted down those measures last year.

Last month, the Division of Corporation Finance granted no-action relief to technology firm AECOM, when it sought to exclude a Chevedden resolution calling for an end to supermajority shareholder voting requirements.

To contact the reporter on this story: Che Odom in Washington at

To contact the editor responsible for this story: Yin Wilczek at

The no-action letter is available at

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