LSE caves into TCI demands, to hold vote on Brydon and Rolet

Michele Maatouk WebFG News | 10 Nov, 2017 13:16 - Updated: 13:22 | | |

London Stock Exchange AIM LSE shares
  • 3,846.00
  • 1.64%62.00
  • Max: 3,881.00
  • Min: 3,776.00
  • Volume: 1,014,156
  • MM 200 : n/a
17:18 17/11/17
  • 7,380.68
  • -0.08%-6.26
  • Max: 7,406.53
  • Min: 7,356.16
  • Volume: 0
  • MM 200 : n/a
17:30 17/11/17
  • 10,618.83
  • 0.27%28.99
  • Max: 10,667.53
  • Min: 10,564.62
  • Volume: 0
  • MM 200 : n/a
17:18 17/11/17
  • 4,102.67
  • -0.12%-4.73
  • Max: 4,116.61
  • Min: 4,089.64
  • Volume: 0
  • MM 200 : n/a
17:18 17/11/17
  • 4,051.78
  • -0.11%-4.62
  • Max: 4,065.06
  • Min: 4,039.36
  • Volume: 0
  • MM 200 : n/a
17:25 17/11/17

London Stock Exchange has caved into pressure from activist investor TCI Fund Management, announcing that it will hold a shareholder vote on whether it should remove chairman Donald Brydon and retain chief executive officer Xavier Rolet.

The TCI Fund, which owns 5% of the LSE, is looking to block the departure of CEO Rolet and to oust its chairman, Brydon, instead. The fund wants Rolet to remain in his position until 2021 on his current terms.

The LSE said on Friday that it will meet its obligation to call a meeting within 21 days so that investors can vote on TCI’s proposals.

On Thursday, the fund said it had spoken to other major shareholders, the majority of whom also wanted Rolet to stay on as CEO.

Last week, TCI wrote a letter to the LSE, saying that Rolet was unjustly fired and that the move would destroy value for shareholders. A second letter was sent earlier this week calling on the LSE to waive a confidentiality agreement that has prevented Rolet from explaining the reasons behind his departure to shareholders.

At 1310 GMT, the shares were down 0.1% to 3,731p.

More news

19:07 Europe close: Stocks slip going into the weekend

Stocks reversed early gains as investors opted to play it safe going into the weekend and the euro edged a tad higher on the back of the political gyrations on Capitol Hill.

18:52 Europe open: Stocks start slightly higher, analysts wary

Stocks have started the morning trading slightly higher, tracking overnight gains on Wall Street but analysts are worried about buying into Thursday's bounce.

18:41 London close: Stocks finish week on down note

London's top flight index slipped on Friday, but managed to finish well-off its lows of the session despite renewed Brexit angst as the pound gave back early gains.

16:34 Kingfisher gets RBC upgrade as 'reasons to be cheerful' in France

DIY retailer Kingfisher has more "reasons to be cheerful" thanks to an improving French outlook, analysts at RBC Capital Markets said on Friday, while clothes seller Supergroup remains "compelling" but its shares have gained a lot in recent weeks.

16:33 NAV on the rise as Alpha Real Estate Trust turns focus to build-to-rent market

Real estate investment group Alpha Real Trust saw its net asset value (NAV) rise in its first half of trading as it moved to make further investments in build-to-rent projects.

16:33 Pacific Industrial & Logistics completes sale of Bedford asset

Industrial and logistics-focussed real estate investment trust Pacific Industrial & Logistics has completed the sale of an asset located at Hammond Road, Bedford, for a total consideration of £5.8m, it announced on Friday.

16:27 DP Poland cuts ribbon on 50th Polish Domino's store

DP Poland, which holds the exclusive master franchise for the Domino’s Pizza brand in Poland, celebrated the opening of its 50th location in the country on Friday.

16:24 Mercia Technologies makes new investment into Aston EyeTech

National investment group Mercia Technologies has made a new direct investment into Aston EyeTech - a spinout from Aston University, Birmingham - which has developed a range of proprietary hardware and software products in ocular care, it announced on Friday.

16:19 SimiGon receives final approval for $2m Israeli Air Force order

Modelling, simulation and training solutions provider SimiGon has now received final regulatory approval for a $2m purchase order received from the Israeli Air Force, initially announced on 20 June 2016, it confirmed on Friday.

16:15 Agriterra losses grow after 'subdued' interest in corn products

Agricultural investment group Agriterra saw losses widen in the first half of its trading year as subdued demand for its maize flour products slashed revenues by more than a third.