13th May 2019 07:53
LONDON (Alliance News) - FirstGroup PLC on Monday said a major shareholder has called a meeting to take control of the transport firm's board.
Hermes-Golden Ltd, managed by US-based activist investor Coast Capital Management LP, called the meeting in a bid to remove six of the current eleven directors and appoint seven of their choice.
FirstGroup did not name the directors under threat, nor any of the ones Coast Capital wants to appoint. Coast Capital owns 9.8% stake in the public transport company.
"The board of FirstGroup are focused on delivering shareholder value and are confident the company has the right team with the right experience and plans in place to do so," said the company.
"The board regularly reviews its composition to ensure it maintains an appropriate balance of skills and expertise, and new board members have been added, as recently as earlier this month."
FirstGroup will "continue to engage" with Coast Capital, adding that it has done so for more than a year.
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