Londis has announced the appointment of five new independent directors. This follows shareholder anger over huge payments to directors in the event of a takeover.
The move was recommended by KPMG Corporate Finance, brought in by Londis to do a strategic review. The convenience store chain now has a 10-strong board with eight non-executive directors.
The initiative pleased the Londis Shareholders Action Group but its vice chairman Adrian Costain said company chairman Peter Williams should still resign. He said: “It is still problematic if they keep the chairman in place, and we are worried that KPMG could be on a success fee to sell Londis.”
Ramesh Shingadia, who runs a Londis store in Horsham, West Sussex is one of the new appointees. He said he would leave the action group to sit on the board. Other appointees are Rodney Braxton, Mike Howe, Rick Bailey and former managing director of Alliance and Leicester Peter McNamara, who will be vice-chairman. Each director will be paid £5,150 a year.
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