M&C ejects Vin Murria from board after rejected bid
6 June 2022, 09:04
The software entrepreneur had bid £254m for the advertising agency.
The software entrepreneur who is trying to buy advertising agency M&C Saatchi has been kicked off the company’s board.
The firm said directors thought it would not be appropriate for Vin Murria to continue in the position.
She has made several bids to take over the business, but her latest £254 million approach was rejected by the board, who called it “derisory”.
The bid undervalued M&C Saatchi, board members said at the time, and they later opted instead for a higher bid of £310 million from Next Fifteen Communications.
NFC and M&C agreed a 247.2p-per-share deal. Shares are currently trading at around 194p.
On Monday, M&C said: “The directors of the company other than Vin Murria have concluded that, in light of the offers for the company by each of AdvancedAdvT Limited, a vehicle connected with Vin Murria, and Next Fifteen Communications Group plc, it is not appropriate for Vin Murria to be proposed for re-election as a director at the AGM (annual general meeting).
“Therefore, the independent directors have resolved that Vin Murria be removed from the board with immediate effect and no resolution for Vin Murria’s re-election be presented at the AGM.”
NFC swooped on M&C after Ms Murria’s bids had already been rejected. Although the companies’ boards have agreed on it, shareholders must still back the bid.
The bid was in the end unanimously backed by the board. They called it a “more attractive offer” and said it was in the interest of shareholders.
An 18-person executive committee that runs M&C has also met NFC and backed the bid.
Shares dropped 0.3% on Monday morning after markets opened.
