PRESS: Second Agency Says Ousting LSE Chairman Would Be Too Disruptive

LONDON (Alliance News) - Removing the chairman of the London Stock Exchange Group PLC would ...

Alliance News 7 December, 2017 | 2:06PM
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LONDON (Alliance News) - Removing the chairman of the London Stock Exchange Group PLC would "destabilise" the search for a new chief executive, a shareholder adviser has warned, dealing a blow to the activist fund behind the year's most extraordinary City row, Sky News reported Thursday.

Sky News has seen a note circulated on Thursday by Glass, Lewis & Co which urges the company's investors to oppose a resolution by The Children's Investment Fund Management to oust Donald Brydon.

The recommendation makes Glass, Lewis & Co the second major voting adviser in as many days to oppose the TCI campaign, and increases the chances of Brydon surviving the vote scheduled for 19 December, Sky News said.

TCI has been fighting a campaign for the last month to get Brydon sacked and reinstate Xavier Rolet, the exchange group's chief executive.

It was forced to abandon the latter part of its efforts last week when Rolet stepped down a year early at the request of the company's board.

In its note to clients, Glass, Lewis & Co said it saw "no reason to believe that the board failed to properly oversee the company during the CEO transition process or that it failed to act in the best interest of shareholders", according to Sky News.

The agency also rejected the view expressed in a TCI presentation circulated earlier this week that Brydon had lost the confidence of LSE shareholders.

Shares in LSE were down 0.8% at 100.94 pence Thursday.

By Joshua Warner;

Copyright 2017 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar
London Stock Exchange Group PLC 3,930.00 GBX 1.63
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