NOMINATING AND CORPORATE GOVERNANCE COMMITTEE OF THE BOARD OF DIRECTORS CHARTER

Transcription

1 NOMINATING AND CORPORATE GOVERNANCE COMMITTEE OF THE BOARD OF DIRECTORS CHARTER I. PURPOSE The Nominating and Corporate Governance Committee (the Committee ) is an advisory body to the Board of Directors (the Board of Directors ) of Netshoes (Cayman) Limited (the Company ), and shall provide assistance to the Board of Directors by, among other things: A. Identifying individuals qualified to become directors and recommending that the Board of Directors select the director nominees for the next annual meeting of shareholders or to fill vacancies; B. Developing and recommending to the Board of Directors a set of corporate governance principles applicable to the Company; including corporate governance guidelines; C. Overseeing the evaluation of the Board of Directors and management; and D. Otherwise fulfilling the Committee s responsibilities and duties outlined in Section IV. II. STRUCTURE AND OPERATIONS Composition and Qualifications The Committee shall consist of one or more Directors and can also be composed by nonmembers of the Board of Directors as determined by the Board of Directors from time to time. If required by any applicable rules of the New York Stock Exchange ( NYSE ) or the Securities Exchange Act of 1934, as amended, each member of the Committee shall be an Independent Director (as that term is defined by such applicable laws or rules), except that the Company may rely upon any available exemptions and/or phase-in provisions, if applicable. Appointment and Removal The members of the Committee shall be elected by the Board of Directors, and their term in office can be renewed for successive periods, subject to the rules of the U.S. Securities and Exchange Commission (the SEC ) and the NYSE, as applicable, the Company's Fourth Amended and Restated Memorandum and Articles of Association (the Articles ) and this charter. The members of the Committee that are members of the Board of Directors will serve on the Committee until the earliest of (1) the moment they cease to be a director, (2) their resignation, or (3) the majority of the Board of Directors favorably votes for a change in the composition of the Committee and the members of the Committee that are not members of the Board of Directors will serve on the Committee until the earliest of (1) their resignation or (2) the majority of the Board of Directors favorably votes for a change in the composition of the Committee.

2 Chair The Board of Directors shall elect, from among the members of the Committee, a Chair, who will be responsible for representing, organizing, and coordinating the Committee activities. The Chair of the Committee will be responsible for: a) calling, setting the agenda, establishing, and presiding over the Committee meetings; b) representing the Committee in its relationship with the Board of Directors, the Company's executive officers, internal bodies and committees; c) signing, whenever necessary, letters, invitations and reports forwarded to them; d) inviting, on behalf of the Committee, any participants to Committee meetings; and e) complying with this charter and enforcing that all other Committee members also comply with it. In the event of absence or temporary inability of the Chair, he/she may be replaced by another member appointed by him/her or, in his/her absence, the remaining members of the Committee. Delegation to Subcommittees The Committee may form subcommittees composed of one or more of its members for any purpose that the Committee deems appropriate and may delegate to such subcommittees such power and authority as the Committee deems appropriate. Compensation The compensation of the Committee members shall be as determined by the Board of Directors while a compensation committee of the Board of Directors is not established. Once established, the compensation committee of the Board of Directors will be responsible for determining the compensation of the Committee members. III. MEETINGS The Committee shall meet at least once annually, or more frequently as circumstances dictate. All non-management directors that are not members of the Committee may attend meetings of the Committee but may not vote. Additionally, the Committee may invite to its meetings any director, management of the Company, employees and third-party contractors and such other persons as it deems appropriate in order to carry out its responsibilities. The Committee may also exclude from its meetings any persons it deems appropriate in order to carry out its responsibilities. A majority of the Committee shall constitute a quorum for the transaction of business and the act of a majority of those present at any meeting at which there is a quorum shall be the act of the Committee. The Committee may also act by unanimous written consent in lieu of a meeting. In case the quorum set forth above is not met, the Chair of the Committee or Chair of the Board of Directors shall call another meeting, to be held with any quorum, depending on the urgency required by the matter to be addressed. 2

3 Committee meetings shall be called in writing, via , fax, or letter at least five (5) days prior to the date of the meeting. The notice must inform the time and place of the meeting and include a detailed agenda thereof. Committee members may waive this if they are present at the meeting, or upon prior consent in writing by absent members. Any proposal and all required documents connected to the agenda shall be made available to the Committee members at the same time the meeting is called. In case there are any matters requiring urgent consideration, the Chair of the Committee or the Chair of the Board of Directors may call a meeting of the Committee within a period shorter than the one set forth above. Although the agenda of the meetings will be prepared by the Chair of the Committee, other Committee members may suggest and request additional matters to be addressed by the Committee. Committee meetings shall be held preferably at the Company's headquarters, and they can be held at a different place in case all members deem it appropriate and previously agree with it in writing, and the Chair of the Board of Directors must be informed of that. People are allowed to attend both regular and extraordinary meetings of the Committee by means of conference call system, videoconference or any other communication means that allow identification and the simultaneous communication with all other persons attending the meeting. In that case, Committee members attending the meeting via any of these communication means will be deemed as present at the meeting and shall subsequently sign the corresponding minutes thereof. As part of its goal to foster open communication, the Committee shall also periodically meet with the management of the Company to discuss any matters that the Committee believes would be appropriate to discuss. IV. RESPONSIBILITIES AND DUTIES The following functions shall be the common recurring activities of the Committee in carrying out its responsibilities. These functions should serve as a guide with the understanding that the Committee may carry out additional functions and adopt additional policies and procedures as may be required or appropriate in light of business, legislative, regulatory, legal or other conditions or changes. The Committee shall also carry out any other responsibilities and duties delegated to it by the Board of Directors from time to time. The Committee, in discharging its oversight role, is empowered to study or investigate any matter of interest or concern that the Committee deems appropriate and shall have the authority to retain and terminate outside counsel or other experts for this purpose, including the authority to approve the fees payable to such counsel or experts and any other terms of retention. The Committee also shall have sole authority to retain and to terminate any search firm to be used to assist it in identifying candidates to serve as directors of the Company, including sole authority to approve the fees payable to such search firm and any other terms of retention. 3

4 Board Selection, Composition and Evaluation 1. Establish criteria for the selection of new directors to serve on the Board of Directors. 2. Identify individuals believed to be qualified as candidates to serve on the Board of Directors and select, or recommend that the Board of Directors select, the candidates for all directorships to be filled by the Board of Directors or by the shareholders at an annual or special meeting, as applicable. In identifying candidates for membership on the Board of Directors, the Committee shall take into account all factors it considers appropriate, which may include (a) ensuring that the Board of Directors, as a whole, is appropriately diverse and consists of individuals with various and relevant career experience, relevant technical skills, industry knowledge and experience, financial expertise (including expertise that could qualify a director as an audit committee financial expert, as that term is defined by the rules of the SEC), local or community ties and (b) minimum individual qualifications, including strength of character, mature judgment, familiarity with the company's business and industry, independence of thought and an ability to work collegially. The Committee also may consider the extent to which the candidate would fill a present need on the Board of Directors. 3. Review and make recommendations to the full Board of Directors, or determine, whether members of the Board of Directors should stand for re-election. Consider matters relating to the retirement of members of the Board of Directors, including term limits or age limits, as well as the performance of such directors. 4. To the extent permitted by the Company s Fourth Amended and Restated Memorandum and Articles of Association (the Articles ), determine which class of directors the persons nominated or appointed by the Committee shall join. 5. Evaluate candidates for nomination to the Board of Directors, including those recommended by shareholders on a substantially similar basis as it considers other nominees. In that connection, the Committee shall adopt procedures for the submission of recommendations by shareholders as it deems appropriate. 6. Conduct all necessary and appropriate inquiries into the backgrounds and qualifications of possible candidates. 7. Consider questions of independence and possible conflicts of interest of members of the Board of Directors and executive officers. 8. Review and make recommendations, as the Committee deems appropriate, regarding the composition and size of the Board of Directors in order to ensure the Board of Directors has the requisite expertise and its membership consists of persons with sufficiently diverse and independent backgrounds. 9. Oversee the evaluation of, at least annually, and as circumstances otherwise dictate, the Board of Directors and management. 4

5 Committee Selection, Composition and Evaluation 10. Recommend members of the Board of Directors to serve on the committees of the Board of Directors, giving consideration to the criteria for service on each committee as set forth in the charter for such committee, as well as to any other factors the Committee deems relevant, and where appropriate and as permitted by the Company s Articles, make recommendations regarding the removal of any member of any committee. 11. Recommend members of the Board of Directors to serve as the Chairs of the committees of the Board of Directors. 12. Monitor and recommend the structure and operations of the various committees of the Board of Directors, the qualifications and criteria for membership on each committee of the Board of Directors and, as circumstances dictate, make any recommendations regarding periodic rotation of directors among the committees and impose any term limitations of service on any committee of the Board of Directors. 13. Periodically review the charter, composition and performance of each committee of the Board of Directors and make recommendations to the Board of Directors for the creation of additional committees or the elimination of committees of the Board of Directors. Corporate Governance 14. Periodically review the adequacy of the Articles and recommend to the Board of Directors, as conditions dictate, that it propose amendments to the Articles for consideration by the shareholders. 15. Keep abreast of developments with regard to best corporate governance practices and corporate governance matters in general to enable the Committee to advise the Board of Directors as to adoption or changes in the Company s director selection process and corporate governance guidelines in light of developments in the law and practice of corporate governance as may be appropriate. 16. Advise our Board of Directors as to compliance with applicable laws and regulations, and make recommendations to our Board of Directors as may be appropriate. 17. Periodically review the adequacy of the Company s policies that are not subject to oversight by any other committee of the Board of Directors, including but not limited to the Company s Policy for Transactions with Related Parties, and recommend to the Board of Directors, as conditions dictate, to promote amendments to any such policies. 18. Become aware of and analyze the transactions with related parties involving the Company pursuant to the Company s Policy for Transactions with Related Parties, and provide the Board of Directors with its recommendation as to such transactions. 19. Monitor the structure and operations of the various committees of the Board of Directors, and periodically review the adequacy of the charters of any committees of the Board of Directors, and 5

6 recommend to the Board of Directors, as conditions dictate, to promote amendments to any such charters, as well as make recommendations to the Board of Directors as to the creation of additional committees or the elimination of committees of the Board of Directors. 20. Notwithstanding the proceedings of directors set forth in the Articles, review policies relating to meetings of the Board of Directors, and recommend to the Board of Directors, as conditions dictate, to promote amendments to any such policies. This may include meeting schedules and locations, meeting agendas and procedures for delivery of materials in advance of meetings. Continuity / Succession Planning Process 21. Oversee and approve the management continuity planning process. Review and evaluate the succession plans relating to the CEO and other executive officer positions and make recommendations to the Board of Directors with respect to the selection of individuals to occupy these positions. Reports and Recording 22. Report regularly to the Board of Directors including: (i) following all meetings of the Committee; and (ii) with respect to such other matters as are relevant to the Committee s discharge of its responsibilities. 23. The Committee shall provide such recommendations to the Board of Directors as the Committee may deem appropriate. The report to the Board of Directors may take the form of an oral report by the Chair or any other member of the Committee designated by the Committee to make such report. 24. The subjects, pieces of advice, discussions, recommendations and opinions of the Committee shall be recorded in meeting minutes, which shall be signed by the corresponding members present thereto, and such minutes shall contain the relevant topics discussed, the list of those present, mentioning any excused absences, the measures requested and any points of disagreement among members. Copies of the Committee's meeting minutes will be forwarded to the Company's Board's Chair. 25. Supporting documents of the meetings shall be filed at the Company's headquarters. 26. The Company's management shall designate a Secretary to support the Committee and its meetings, who will also be responsible for drawing up the meeting minutes, as well as for providing any support necessary for the full operation of the Committee and taking all appropriate actions that may be requested by the Committee members. 6

7 V. ANNUAL PERFORMANCE EVALUATION The Committee shall perform a review and evaluation, periodically, of the performance of the Committee and its members, including by reviewing the compliance of the Committee with this Charter. In addition, the Committee shall review and reassess, annually, the adequacy of this Charter and recommend to the Board of Directors any improvements to this Charter that the Committee considers necessary or appropriate. The Committee shall conduct such evaluations and reviews in such manner as it deems appropriate. 7