3D Investment Partners, which manages funds holding approximately 19% of Square Enix Holdings' outstanding shares, has abstained from voting on the reappointment of directors at the company's 46th Annual General Meeting of Shareholders. The decision follows a survey of more than 80 institutional investors and sell-side analysts, conducted by an independent research firm, which found that 69% of participants believe Square Enix is not effectively maximizing corporate value, and 88% think a fundamental review of management policies is needed. While 3D's voting guidelines would normally result in voting against the proposals, the firm cited Japan's Stewardship Code and expectations that both executive and outside directors will now engage proactively with shareholders. The survey also showed that 77% of respondents feel outside directors are not sufficiently engaging with shareholders, and 88% want them to actively participate in direct dialogue with investors.
Square Enix Holdings Co., Ltd.69% of surveyed investors believe Square Enix is not effectively maximizing corporate value, and 88% want a fundamental review of management policies, indicating dissatisfaction with capital allocation and governance.