Nissin Foods Urged to Oppose British Firm’s CEO Appointment

June 24, 2018

Tokyo- Hong Kong investment fund Oasis Management Co. said Sunday it will ask Nissin Foods Holdings Co. to oppose the reappointment of the chief executive officer of major British food manufacturer Premier Foods PLC.

Nissin Foods is the top shareholder of Premier Foods.

Oasis is critical of Premier Foods CEO Gavin Darby, saying his lack of management capability is to blame for the company's weak earnings and stock prices.

According to Oasis, Nissin Food holds an equity stake of over 19 pct in Premier Foods, followed by Oasis with nearly 10 pct.

Oasis said the stock price of Premier Foods has fallen 34 pct since Darby became CEO in 2013. Questioning his leadership and management capability, Oasis, known as an activist fund, demanded that Darby resign as CEO.

At a recent news conference in Tokyo, Oasis Chief Operating Officer Phillip Meyer said Premier Foods has not achieved adequate corporate value. Noting that Nissin Foods, which has significant voting rights, he urged the company to oppose the reappointment of Darby or abstain from voting at a shareholders' meeting slated for mid-July in London.

On the request of Oasis, a public relations official of Nissin Foods said the company declines to comment. Jiji Press