Attack on board over its strategy

Businessman Robert Tchenguiz has launched an attack on the board of FirstGroup, where he has a 4.7% economic interest.

He claimed results from the train and bus operator, released on Thursday, were ambiguous, misleading and confusing “at best”, and challenged the “defunct” strategy laid out by the firm in May.

Mr Tchenguiz said he has asked chairman David Martin to publicly clarify FirstGroup’s aims and ambitions.

He sees a “disconnect between what the chairman has stated and what the CEO

“He challenged the strategy laid out by the firm in May”

presented”. He said Mr Martin claimed to shareholders the “clear priority” is through “rationalisation of the current portfolio”, with Mr Tchenguiz believing this would involve selling FirstGroup’s US businesses.

FirstGroup is selling its Greyhound coach division in the US, but last week CEO Matthew Gregory said the business is focusing on “our core contract businesses in North America” of First Student and First Transit.

Mr Tchenguiz said this contradicts Mr Martin’s claim that the focus is on selling assets.

FirstGroup said the comments from the CEO and chairman are “consistent” with plans to slim down the portfolio of businesses.