Good Energy’s board has written to shareholders, urging them to vote against appointing representatives from Ecotricity to the board.
Last month, Good Energy announced it had received a requisition for a general meeting from Ferlim Nominees Limited, acting on behalf of Ecotricity, to consider the appointment of two Ecotricity representatives as directors. At that time, Good Energy said: “Within the last 12 months, Ecotricity has become the largest single shareholder in Good Energy with 4,169,948 shares, representing 25.30% of Good Energy’s issued share capital.” Ferlin Nominees proposed that Ecotricity’s founder and chief executive Dale Vince, and Simon Crowfoot, managing director of Ecotricity’s Electric Highway division, be appointed as non-executive directors of Good Energy.
John Maltby, chairman of Good Energy, commented: ”Having the owner and senior management of a direct competitor on our board would be unworkable. There can be no reasonable expectation that any representative of Ecotricity would put the interests of Good Energy shareholders, customers and other stakeholders before those of Ecotricity.
The proposed appointments, if implemented, would significantly curtail the ability of Good Energy’s board to operate and consider any commercial matter in a unified way, creating unnecessary administrative, financial and competitive penalties for the company.”
The appointments will go ahead if more than 50% of shareholders vote in favour of the resolution. The board has written to shareholders with “the unanimous recommendation” that shareholders “vote against” the proposed changes. The meeting will take place on 6 September in Chippenham, Wiltshire.
Related content:
Energy retailers: how are they changing?
Subscribe to New Power for full analysis, comment, interviews and data in our monthly report, and access to our database, or sign up to our FREE e-newsletter for website updates
Not a subscriber? To see if you qualify for our next FREE TRIAL send your name, job title, and telephone number to [email protected]