U.S. investor Wood lambastes Swatch, proposes overhaul to company's board, FT reports

U.S. capitalist Steven Wood accused Swatch Group of "worst-in-class governance", proposing changes to the Swiss watchmaker's committee and governance reforms, the Financial Times reported connected Saturday.

Wood, the laminitis of GreenWood Investors, which says it holds astir 0.5% of Swatch's stock capital, has ditched plans to summation a committee spot and is pushing the committee to follow a bundle of reforms, the paper said.

Swatch and GreenWood did not instantly respond to Reuters requests for comment.

"I nary longer deliberation of the superior extremity arsenic going connected the committee and having a constructive relationship," Wood told the FT. "These are caller moves to unit them to germinate their worst-in-class governance."

GreenWood Investors made six proposals on Monday to amend Swatch's firm governance, including allowing alleged bearer shareholders to elite 3 representatives to the board. The bearer shareholders clasp a bulk of the firm's stock superior but not of its voting rights.

In May, Wood failed in a bid to unafraid a spot connected the company's committee arsenic a bearer shareholder representative, gathering absorption from the Hayek family, which controls implicit 44% of voting rights and a smaller chunk of the stock capital.

Swatch's committee recommended Wood's bid beryllium rejected, and the institution said 79.2% of shareholders voted against his predetermination astatine the yearly wide meeting.

Known for its integrative watches and luxury brands including Tissot, Longines and Omega, Swatch acknowledges bearer shareholders' close to practice but disputes however they should beryllium chosen.

Wood has been pressing Swatch to absorption much connected its luxury brands specified arsenic Breguet and Blancpain successful an effort to crook astir the fortunes of the Swiss company, whose shares person astir halved successful worth since aboriginal 2023.