Major European pension institutions such as ABP, USS and Hermes are among a group of institutional investors that have launched a lawsuit against Rupert Murdoch’s News Corp over a poison pill arrangement.
Investors participating include Stichting Pensioenfonds ABP, the UK’s Universities Superannuation Scheme and Hermes Investment Management.
The group seeks to compel News Corp to abide by a promise it says the media group made to shareholders less than a year ago that it would not extend poison pill provisions beyond 12 months without shareholder approval.
The suit was filed in Delaware Chancery Court seeking to enjoin the extension of the poison pill until News Corp puts the provision to a shareholder vote.
A News Corp spokesman was quoted by Reuters as saying the suit was “frivolous and without merit”.