Johnson Matthey PLC (LSE:JMAT) has insisted it is making progress with its transformation strategy after receiving another blast from activist shareholder Standard Investments.
Following an open letter in December, Standard Investments wrote to the chemicals and refining group again yesterday repeating its accusation that management had overseen “a significant destruction of shareholder value.”
Patrick Thomas, Johnson Matthey chairman, said on Christmas Eve he plans to hold talks with investors, a move standard yesterday wrote was “wholly insufficient”.
“It only underscores the continued lack of urgency and incapacity of the current board to do what is necessary to turn Johnson Matthey around and help it to realise its potential,” the letter
In reply, the UK group said: “Johnson Matthey is making progress in a challenging market environment through delivery of a comprehensive transformation strategy which includes significant manufacturing footprint consolidation in clean air, a generational upgrade in our PGM (platinum group metal) refining capabilities, significant cost reduction, the implementation of a global business services model and extensive organisational changes.
“In addition, we have made substantial commercial progress, winning new business across all our business areas that will drive future growth.”
Standard owns a roughly 11% stake in the FTSE 250 group which has seen its share price drop 60% over the past three years.
Shares were flat at 1,347p.