LONDON (Reuters) - Online gambling company bwin.party BPTY.L agreed a compromise on Thursday with a rebel American investor who had been pushing for extra seats on its board.
Bwin.party said Daniel Silvers would join the board to represent SpringOwl, the activist investment group which has a 5 percent stake in the company.
It also agreed to consider SpringOwl nominee Michael Fertik, a technology specialist, as a candidate for a place on its board under a management plan to bring in fresh faces.
“I am pleased to be able to demonstrate common ground with SpringOwl and welcome its support,” said bwin.party chairman Philip Yea.
SpringOwl withdrew the four nominees it had put up for election to the board at the company’s annual meeting which is being held in Gibraltar on Thursday.
The American activist investor Jason Ader, whose SpringOwl vehicle acquired its stake in bwin.party earlier this year, says bwin.party has been badly managed since it was formed by a merger announced in 2010.
Seeking to take the initiative, bwin.party last week came up with its own plan to replace a third of its board by hiring three new directors.
“Bwin.party is a business with great brands and enormous potential,” Ader said.
“We ... are looking forward to working with Philip Yea and the Board over the coming period to ensure that this potential is both realised and translated into long-term value for shareholders.”
Writing by Keith Weir; editing by Erica Billingham and Tom Pfeiffer