Reuters – British private equity firm Electra has rejected calls from activist investor Edward Bramson’s Sherborne Investors to review its strategy and elect Bramson to the board.
Sherborne said in a letter last week that a revamp of Electra could create over one billion pounds ($1.6 billion) of shareholder value.
However, Electra criticised the proposal, saying it lacked detail on how the gains would be achieved.
“The Board of Directors of Electra believes that Sherborne’s Letter contains unverifiable statements and unsubstantiated claims,” Electra said on Monday.
“Sherborne’s strategic review would have a deeply destabilising effect and risks disrupting the continuation of this highly successful track record and destroying significant shareholder value.”
The letter can be found here.