If you have suspicions or proof that your rights as a shareholder are being violated, you can inform Shareholder Rights and we will initiate an investigation to substantiate if the harm you perceived indeed constitutes a violation of your shareholder rights under Governance & Integrity criteria. Companies found to have violated your rights will be exposed, with detailed documentation of our investigation. All whistleblowers will be protected by extreme confidentiality and all investigation requests will remain anonymous unless ...
Two companies in our sample are active in the Industrial Manufacturing sector, Holcim Liban S.A.L and Société Libanaise des Ciments Blancs S.A.L. Holcim is an international company with headquarters in Switzerland. When reviewing their main website, we nd that the company discloses 77 percent – or a rating of B++ in the Very Good range – of the 101 GIR indicators and represents a more complex understanding of corporate governance practices. The disclosure behavior of the group’s unit in Lebanon differs significantly from Holcim group practices as Holcim Liban, which provides practically no information about their activities and governance in the country. Holcim Liban covers a mere 9 percent or F score.
The same observation, but in yet slightly sharper form, applies to Société Libanaise des Ciments Blancs, which is majority owned by Holcim Liban. This company has the questionable distinction of disclosing no information to its stakeholders online.
Holcim Liban S.A.L received 9 percent on its GIR disclosure, 33 percent in Audit and 29 percent of financial- related information under the category Financial Transparency. It failed to disclose information in the categories Shareholder Rights, Integrity and BMSP.
These results do raise questions regarding the engagement of multi-national firms in Lebanon and the obvious application of double standards when it comes to corporate governance. Holcim’s activities regarding corporate governance remind us that the Swiss, as well as the Lebanese regulator, have an important role to play in making sure that companies comply with the same standards across their subsidiaries and investments.
In Lebanon, it is the mandate of the BSE and the CMA to enforce stringent corporate governance standards. The practices of Holcim Liban and Société Libanaise des Ciments Blancs reveal BSE’s and CMA’s challenges in strengthening their regulation beyond the financial industry.