Institutional Shareholder Services Inc (ISS) has backed the incumbent management at Stratex International plc (LON:STI) in its battle with some disgruntled shareholders.
A meeting has been convened for 1 November at which shareholders will be asked to vote in favour of replacing the current chairman and chief executive officer of Stratex with David Hall and Paul Foord, and for the termination of the proposed acquisition of Crusader Resources Limited.
ISS, a corporate governance and proxy vote advisory firm, has recommended that Stratex shareholders vote against the proposals, and stick with the current management team.
"We are pleased that ISS has supported the board decision in recommending that Stratex shareholders vote against all resolutions proposed by the requisition party. This level of endorsement demonstrates the lack of foundation behind the requisitioning shareholders' resolutions and the strength of the proposed Crusader Resources acquisition," said Marcus Engelbrecht, chief executive officer of Stratex.