Dundee firms unite in battle
DC Thomson backs Garrett-Cox in Alliance battle with Elliott
DC Thomson, the newspaper publisher, has offered support to beleagured Alliance Trust boss Katherine Garrett-Cox by saying it would vote against Elliott Advisors’ plans to install three non-executive directors on to the board.
The backing from one Dundee business for another will provide some relief to Ms Garrett-Cox who has been fighting a rearguard action against the New York based hedge fund.
Elliott has garnered support from three big shareholder groups and the decision by Thomson,the third- biggest investor in the trust with a 5.5% stake, will give it some hope of overcoming the challenge at the annual meeting on 29 April.
Ms Garrett-Cox and her chairman Karin Foreske have argued that performance is better than Elliott has indicated. They have urged shareholders, including thousands of private investors, to reject the plan to elect Peter Chambers, Rory Macnamara and Anthony Brooke to the board.
The board has appointed headhunters to find an independent non-executive director of their own.
However, the task was made harder last week when Institutional Shareholder Services joined Pirc and ShareSoc in offering support to Elliott.