has another unhappy investor pushing for changes to its board and strategic direction: the chief executive officer’s brother.
Under a shareholder agreement between D&D, OneMove and Plantro dating to when the company went public, OneMove has the right to designate a nominee to its board so long as it owns 5 per cent of the stock. Until now, OneMove’s nominee has been Mr. Prittie, who leads a document storage business in sub-Saharan Africa.
At the same time, DND said it “currently intends to honour its obligations” under the shareholder agreement and nominate Mr. Shahinian. Engine has criticized D&D and its board for an alleged pattern of poor strategic decision-making including misallocation of capital and mismanagement of a convertible debt refinancing. D&D has pursued the wrong target by aiming to increase operating earnings to $1-billion a year, which incentivizes acquisitions even if they don’t create shareholder value, Engine believes., has been “long-term underperformance” by D&D.
D&D has been a highly acquisitive, debt-fuelled company specializing in buying legal software providers in Canada and subsequently hiking fees for such services as property transfers. It has also pursued acquisitions in Britain and Australia.
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: DurhamRadioNews - 🏆 70. / 51 Read more »