Glass Lewis issued an environmental, social, and governance (ESG) alert for shareholders of SkyCity Entertainment Group (ASX:SKC, NZE:SKC) ahead of the company's annual general meeting on Oct. 31.

In August, the company unveiled a heavily dilutive capital raising at a discounted share price, triggering strong investor backlash and prompting its largest shareholder, Allan Gray, to oppose the move and challenge the board's leadership.

Allan Gray, holding a 15% stake in the company, publicly expressed its intention to vote against the re-election of the current directors.

The board defended the move, stating that the capital raising was essential to maintain the company's investment-grade credit rating.

The alert's rationale centers on public stakeholder opposition and falls under board responsiveness.