Ecotricity backs away from boardroom battle with rival
ECOTRICITY has backed away from a showdown with its long-time green energy rival by abandoning an attempt to gain access to Good Energy’s boardroom.
The green energy giants were preparing to go to battle after Dale Vince, Ecotricity’s multi-millionaire founder, snapped up a major stake in his rival and requested two non-executive seats on the board.
But after a temporary deferral Ecotricity has agreed to withdraw a request for a shareholder meeting to vote on its proposal. The meeting was adjourned indefinitely yesterday.
The unconventional green industrialist raised concerns among Good Energy’s institutional shareholders that he was eyeing a hostile takeover after he called a general meeting to force a shareholder vote on his controversial plan to clinch a non-executive seat on the board alongside Simon Crowfoot, an Ecotricity executive.
The Good Energy board strenuously opposed the plan over concerns of a major conflict of interest.
“It’s a unique situation, we know that. But we have the biggest stake in the company and are entitled to a presence on the board,” Mr Vince told The Sunday Telegraph. But within days Mr Vince asked to defer the meeting before abandoning the plans altogether yesterday.
John Maltby, Good Energy’s chairman, said the company would now seek a constructive dialogue with Ecotricity, “as we do with all of our shareholders”. “We hope very much that we can put this matter behind us and would like to thank our customers, shareholders and other stakeholders for their support,” he said.
Mr Vince became the biggest shareholder of his long-time rival in October after clinching a 25.3pc stake worth £9m after a long-running rivalry with Good Energy which stretches back to the late Nineties.