25th Jul 2016 09:02
LONDON (Alliance News) - Investment firm Toscafund Asset Management LLP on Monday called for the removal of Speedy Hire PLC's executive chairman, saying he has proved an "indecisive business leader".
The tool and equipment rental firm had said earlier on Monday morning it had received a requisition for a general meeting from Toscafund, which owns a 19% stake in the business. Toscafund called for the removal of Jan Astrand and the appointment of David Shearer.
Shearer was the chairman of infrastructure and business services company Mouchel until its acquisition by UK-listed Kier Group PLC.
Toscafund, in a letter to shareholders, said Astrand has been "indecisive as a business leader, failed to support Speedy Hire's executive management fully, and failed to consult with shareholders regarding key board appointments".
The fund added Astrand's role as executive chairman is "incompatible" with the UK Corporate Governance Code, as Speedy already has an "effective chief executive" in Russell Down.
Toscafund added that since Astrand's appointment as executive chairman in July 2015, Speedy's share price has fallen 34%.
Speedy said it intends to call a general meeting for shareholders to vote on the proposals but advised shareholders to take no action at this time.
Speedy shares were up 2.4% to 33.80 pence on Monday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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