Business World

Monday 23 July 2018

Stobart board blocks re-entry of ex-boss as chairman survives shareholder vote

Stobart's board has blocked the reappointment of its former CEO as a director after its chairman narrowly survived an attempt to oust him from the company. Photo: PA
Stobart's board has blocked the reappointment of its former CEO as a director after its chairman narrowly survived an attempt to oust him from the company. Photo: PA

Helen Cahill

Stobart's board has blocked the reappointment of its former chief executive as a director after its chairman narrowly survived an attempt to oust him from the company.

At Stobart's annual general meeting on Friday, close to 49pc of its shareholders voted against chairman Iain Ferguson's reappointment, just under the threshold required to remove him.

Shareholders also backed a resolution to appoint former boss Andrew Tinkler as a director, after he was fired as chief executive last month.

However, the board blocked Mr Tinkler's appointment, saying it was not in the best interests of the company for him to become a director.

Mr Tinkler was sacked for leading a bid to push Mr Ferguson out of the company and replace him with retail boss Philip Day.

Mr Tinkler was subsequently hit with a legal case for breach of contract and breach of fiduciary duty.

Warwick Brady, Stobart's new chief executive, said Mr Tinkler had threatened to "destabilise the company".

On Monday, Mr Ferguson said the company will now work to unite its shareholders.

"Andrew Tinkler will not be part of this process - the board has taken the decision again to dismiss him, following the passing of his resolution to be elected as a director of the company," he said.

"The board maintains the view that, notwithstanding the support of certain shareholders, given the seriousness of his breach of fiduciary duty and the impending court cases against him, it would not be in the best interests of the company for him to act as a director."

Press Association

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