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LSE investors should abstain at meet to oust chairman - advisor PIRC

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LSE investors should abstain at meet to oust chairman - advisor PIRC

LSE investors should abstain at meet to oust chairman - advisor PIRC
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LONDON (Reuters) - Shareholder advisory group PIRC recommended on Tuesday that LSE shareholders abstain in a vote on a resolution put forward by activist hedge fund TCI to oust chairman Donald Brydon.

The shareholder meeting takes place on Dec. 19

PIRC said it had a "number of concerns" about the LSE board's behaviour following the sudden departure of Chief Executive Xavier Rolet, and said its handling of the succession strategy constituted a "major failure of board leadership".

LSE and TCI have been engaged in a public tussle over the exchange's handling of initial plans for Rolet to step down by the end of 2018, and which instead led to him leaving in late November.

TCI, which has a 5 percent stake in the LSE, had accused the board of forcing Rolet out and instead demanded a meeting to remove Brydon.

Fellow shareholder advisory firms ISS and Glass Lewis last week both said investors should back the company and reject the TCI resolution.

(Reporting by Carolyn Cohn; editing by Simon Jessop)

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