F&C chairman criticises Sherborne attempt to oust him
UK - F&C Investments chairman Nick MacAndrew has responded to the attempt by a shareholder to oust him and one of his fellow non-executive directors.
Activist investor Edward Bramson is hoping to install himself as chairman. Bramson's Sherborne Investors Management, which has built a 17.5% stake in the F&C during the past six months, has requested an extraordinary general meeting.
MacAndrew criticised the move: "Sherborne has not proposed an alternative strategy to the existing F&C strategy.
"Sherborne has also declined to address concerns raised by the board about the lack of experience of its nominees as an FSA regulated and listed financial services company and that they lack recent and relevant experience of the fund management industry today," he added.
Sherborne is also seeking to replace F&C non executive director Brian Larcombe, with Sherborne chairman, Ian Brindle, who was previously UK chairman of PwC.
The company has also backed Derham O'Neill, a former Clifford Chance partner, as a candidate to join the F&C board.
F&C, which manages £21.5bn of institutional pension fund money, has experienced a period of uncertainty following the purchase of its owner, Friends Provident, by Clive Cowdery's Resolution consolidation vehicle last year and F&C's acquisition of investment boutique, Thames River Capital in September.
F&C will be sending a notice convening a general meeting to its shareholder no later than 6 January 2011.
Sherborne is backed by Aviva Investors, which holds 19.5% of the company, as well as 6.35% of F&C.
The company could not be reached for comment.