Hammerson shareholders told to oppose activist proposals
Shareholder advisers have told Hammerson’s investors to vote against resolutions tabled by activist Lighthouse to install two new board members.
ISS, Glass Lewis, Pirc and IVIS have advised shareholders to oppose Lighthouse’s proposal to appoint Nick Hughes and Craig Tate as non-executive directors.
Investors were told there was no “clear or persuasive case” to support board changes, with advisers pointing to a lack of “detailed argument or path to improve the company’s operational performance”. The vote will take place at the REIT’s annual meeting on 4 May.
Shareholder advisers have told Hammerson’s investors to vote against resolutions tabled by activist Lighthouse to install two new board members.
ISS, Glass Lewis, Pirc and IVIS have advised shareholders to oppose Lighthouse’s proposal to appoint Nick Hughes and Craig Tate as non-executive directors.
Investors were told there was no “clear or persuasive case” to support board changes, with advisers pointing to a lack of “detailed argument or path to improve the company’s operational performance”. The vote will take place at the REIT’s annual meeting on 4 May.
Shareholders that have already opposed the proposals include APG – Hammerson’s second-largest investor, with a 20% stake. Schroders Investment Management and Legal & General Investment Management have also shown their support for the REIT’s management team (chief executive Rita-Rose Gagné, pictured).
Lighthouse, which has a near-23% stake in Hammerson, wants the REIT to speed up its asset sales and resume dividend payouts. It has criticised the owner’s struggle to cut administration costs.
A spokesperson for Hammerson said Lighthouse’s proposals were “unnecessary, distracting and value destructive”.
“It is the board’s view that neither nominee has the experience or skills that will be additive to our board and it would not be beneficial to appoint them,” said the spokesperson.
“Hammerson’s chair and board are of the highest quality and changing the composition would risk destabilising the focus and great work that is being delivered by the company.
“Looking forward, we are focused on execution of our strategy and creating a sustainable platform fit for the future. The board is confident that the strategy and leadership team is the right one and our performance clearly demonstrates strong strategic, operational and financial progress.”
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