UK: Steelmaker board opposes plans for shareholder nominee
Automotive steel maker Corus, an Anglo-Dutch company, has vowed to oppose a Russian shareholder's plans to install a nominee on its board.
"We believe board members should be working in the interests of all shareholders rather than individuals," the company said, according to the BBC news website.
The report said Russian metals entrepreneur Alisher Usmanov, who owns 13.4% of the company, has made no secret of his ambitions to influence Corus' strategy and has been especially critical of the company's two-country structure.
The Dutch arm of the business is profitable, but is dragged down by persistent losses on the British side, the BBC noted.
Usmanov reportedly wants to nominate Aad van der Velden, a former board member of Corus and its Dutch predecessor Hoogovens, to the Corus board while Corus chiefs Jim Leng and Philippe Varin say their strategy is working - according to some reports, the move is in preparation for a takeover bid for the company, the BBC said.
The report noted that the company last month unveiled its fourth straight annual loss, and some analysts have urged it to move out of the UK market entirely.
In resisting Usmanov's approach, Corus management insisted there were "early encouraging signs" that the turnaround was under way, the BBC said, adding that the company last month said that strong Chinese demand was buoying steel prices around the world.