Garrett-Cox on back foot at Alliance Trust

PRESSURE is mounting on Alliance Trust chief executive Katherine Garrett-Cox amid unrest among shareholders.

Two big City institutions have signalled support for a rebel American investor that is trying to install three new non-executive directors.

Legal & General Investment Management, which owns 2.5pc of Alliance Trust, and Aberdeen Asset Management, with a 1.5pc stake, look set to support moves by US hedge fund Elliott Advisors to shake-up the board.

That will come as a blow to Garrett-Cox following Elliott’s attack last month when it accused Alliance Trust bosses of a ‘lack of openness’. Elliott has a 12pc stake in the company.

Shareholders will vote on the hedge fund’s three candidates for the board at the firm’s annual meeting in Dundee on Wednesday. Elliott needs 50pc or more of the votes cast to elect its proposed directors.