In a significant corporate governance development, Banks DIH Holdings Inc. has announced its intention to appeal a High Court injunction that prevented the implementation of a controversial cap on shareholder voting rights. The ruling, issued on Friday, January 30, 2026, temporarily blocked the company from proceeding with amendments that would limit any single entity’s voting power to 15% of total shares, regardless of their actual shareholding percentage.
Company Chairman and Managing Director Clifford Reis addressed shareholders during Saturday’s Annual General Meeting at Thirst Park, East Bank Demerara, confirming the company’s compliance with the court order while simultaneously preparing an appeal. ‘As a law-abiding and responsible corporate citizen, we will comply with the judge’s order. However, the company proposes to appeal this matter to the Full Court for the discharge of this injunction,’ Reis declared, flanked by legal counsel.
The legal challenge was initiated by stock brokerages Guyana Americas Merchant Bank Inc and Beharry Stockbrokers Limited. Reis emphasized that Guyana Americas Merchant Bank does not currently hold shareholder status in Banks DIH Holdings, having missed the registration cutoff for the AGM.
The proposed Amendment to By-Law Article 8 represents a substantial shift in corporate governance policy. It would establish a strict 15% ceiling on voting rights, even for shareholders possessing larger stakes. The amendment broadly defines ‘person’ to include corporate entities, partnerships, trusts, and any coordinated groups acting in concert. Should any entity exceed this threshold, their excess votes would be rendered invalid during shareholder meetings.
Banks DIH Holdings has raised procedural objections to the injunction process, claiming Corporate Secretary Kavorn Kyte-Williams was denied the opportunity to file an opposing affidavit. The company further contends that Justice Sandil Kissoon’s judgment referenced non-existent ‘Articles of Association’ rather than the actual governing documents—Articles of Incorporation and By-Laws—fundamentally undermining the legal basis of the ruling.
Concurrently, Reis unveiled an ambitious initiative to expand shareholder participation, setting a target of 20,000 individual shareholders—a nearly 200% increase from current levels. ‘We want to see 20,000 small shareholders in this company—drivers, service workers, farmers, teachers, plant operators,’ he stated, distributing enrollment forms to attendees.
The proposed amendment includes provisions for appointing a Special Registrar to monitor compliance and enforce disclosure requirements aligned with Section 115 of Guyana’s Securities Industry Act. The outcome of the appeal will significantly influence corporate governance structures and shareholder democracy within one of Guyana’s prominent publicly traded companies.