Mitchells and Butlers, the managed pub operator, has this morning revealed it has approached the Takeover Panel and Mergers to rule whether its largest shareholder has been trying to gain control of the company.
The approach follows press speculation at the weekend, today confirmed by M&B, that billionaire investor Joes Lewis had blocked the appointment of Archie Norman, the former Conservative MP, to the position of chairman.
M&B revealed that he was just one of three candidates that were deemed unsuitable by Lewis. M&B also said that Piedmont had asked for the resignation of senior independent director Simon Laffin.
In a statement M&B said: “In particular, the majority of the board would like to bring to shareholders’ attention two actions by a shareholder representative of Piedmont Inc which together could potentially undermine the independence and effectiveness of the board.
“The first action taken was the frustration of the appointment of an independent Chairman to replace Drummond Hall, who has made public his intention to step down.
“The nomination committee of the board put forward three independent candidates for election to the position of chairman, all of whom were vetoed at the final stage by a nominated representative of Piedmont who had been involved in the process from its beginning as a member of the nomination committee.
“The second action was requesting the resignation of the senior independent director, Simon Laffin, advising him that if he did not, a small number of large shareholders would vote against his election at the January 2010 AGM.
It added: “The Panel on Takeovers and Mergers has been approached and a submission will be made imminently regarding the cumulative evidence that a number of shareholders have been seeking to gain control of the board and of the company to advance the interests of a small group of shareholders at the expense of others.
“The majority of the board is continuing to work to strengthen the board through further independent appointments, and to identify an independent candidate to succeed the chairman, Drummond Hall, urgently.”
