Premier Foods investor calls for immediate removal of CEO

Nissin

24/06/2018 10:28

By Sangameswaran  S
    June 24 (Reuters) - Shareholder Oasis Management has called
for the immediate removal of Premier Foods  PFD.L  Chief
Executive Gavin Darby, raising the pressure on the company ahead
of its annual meeting next month.
    Oasis, which said it has a 9.3 percent stake in Premier,
said current CFO Alastair Murray should take interim charge,
supported by the company's UK Managing Director Alex Whitehouse.
It urged the company to seek a new permanent chief executive
from outside the company.
    In a statement, Oasis accused Darby of having no credible
strategy,  adding: "we have completely lost faith in him."
    Oasis also confirmed its intention to vote against Darby's
re-election at the annual meeting scheduled for July 18 while
urging other shareholders to do the same.
    Darby has been in charge of the Oxo stock cube-maker for
more than five years.
    Last week, Premier Foods acknowledged that Oasis intended to
oppose the re-election of Darby but asked other shareholders to
support him, saying that he was "the best person to lead the
company and to execute the board's strategy".  urn:newsml:reuters.com:*:nL8N1TN520
    Premier Foods has been under shareholder pressure since it
rejected a twice-improved 65 pence per share takeover bid from
U.S. food-maker McCormick in 2016. Its shares closed at 37.15
pence on Friday.
    Under Darby's leadership, the company has been trying to
reduce its debt and boost sales internationally, as its UK
growth slows. Its net debt currently stands at 496.4 million
pounds.
    The company in May said that although it faced a tough
retail environment, full-year sales grew 3.6 percent mainly due
to overseas partnerships.  urn:newsml:reuters.com:*:nL5N1SM1QR
 

 (Reporting by Sangameswaran S in Bengaluru
Editing by Keith Weir)
 ((Sangameswaran.S@thomsonreuters.com; within U.K +44 020 7542
1810; outside U.K. +91 80 6749 3544; Reuters Messaging:
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