THG backs director after shareholder revolt

The board of THG has backed a non-executive director after his re-election was voted against by more than a fifth of shareholders at the company’s AGM.

A “significant” number of votes were cast against a resolution relating to Iain McDonalds’ re-election in the AGM last June.

However, following a review of the rebellion, McDonald will remain in his position as director, the company said, though it has confirmed he stepped down from the remuneration committee on the morning of the AGM.

The company said it was “open to constructive dialogue with shareholders and shareholder bodies”, adding that McDonald is a “valuable member” of its board.

In its latest update regarding the matter, THG also confirmed that Helen Jones has been appointed as a new independent non-executive director on the board.

In a statement, the company said: “Whilst the board was disappointed with the outcome of this vote, it takes seriously its responsibilities to represent the interests of shareholders and to uphold the highest standards of corporate governance and, as stated at the time, is open to constructive dialogue with shareholders and shareholder bodies.

“Such dialogue took place in the period leading up to the AGM and the company announced on the morning of the AGM that, in addition to the appointment of Helen Jones as a new independent non-executive director, Iain McDonald would step down from membership of the remuneration committee (of which he was a non-independent member) to focus on his other THG commitments.” 

It added: “Iain is regarded as a valuable member of the board and, possessing extensive financial and remuneration expertise and investment acumen, brings a wealth of experience to its overall skill sets and knowledge base.

“The board will continue to engage with shareholders on this matter as considered appropriate and will provide a further update in the company’s Annual Report and Accounts for the financial year ending 31 December 2023.”