London Stock Exchange shareholders to vote on chairman's future

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London (AFP)

London Stock Exchange Group shareholders are to vote on whether to hasten chairman Donald Brydon's exit following investor anger at the departure of chief executive Xavier Rolet, the LSEG announced.

In a letter sent to shareholders Thursday, the LSEG board said a general meeting would take place in London on December 19, where investors are invited to vote on whether Brydon should be "removed from office as a director of the company with immediate effect".

It comes after British activist investor The Children's Investment Fund, which holds around five percent of the LSEG, demanded his removal.

The LSEG on Wednesday announced that Brydon, who is accused by TCI of forcing Rolet out in a reported boardroom struggle, will not stand for re-election in 2019.

The same day Rolet announced his own immediate departure, blaming 'unwelcome publicity' surrounding talk that he had been forced to step down.

Meanwhile on the eve of Wednesday's announcement, Bank of England governor Mark Carney called for clarity and suggested Rolet's exit should go ahead.

LSEG, which also owns the Milan stock exchange, announced in October that French national Rolet, who took over in 2009, would leave by the end of next year.

Since that announcement, TCI has questioned whether Rolet chose to leave or was pushed out by the board of directors amid reported concerns over his management style.

They have added that they wanted Rolet to stay.

The LSEG has appointed its chief financial officer David Warren as its interim chief executive. He will carry out both roles until a successor to Rolet is found.