(Reuters) – Rolls-Royce shareholder Causeway Capital Management has called on the new chairman of the British engine maker to refresh the board of directors, the Financial Times reported.
“I really believe that the board needs some new thinking. The company faces some challenges, ”Jonathan Eng, portfolio manager at Causeway Capital Management, told the Financial Times in an interview.
The California-based investment group is Rolls-Royce’s second largest shareholder with a stake of around 7%, behind Capital Research Global Investors which owns around 9%, according to data from Refinitiv.
Causeway Capital could not immediately be contacted by Reuters for comment.
“We regularly review the effectiveness, composition and skills of our board of directors, using independent advice and benchmarking,” a Rolls-Royce spokesperson told Reuters.
Rolls-Royce said in June that Anita Frew would succeed Ian Davis as president on October 1. Frew, who would become the first woman to chair the company, will take over as the UK company undertakes cost and asset cuts. sales to fix his finances.
Rolls’ largest company, its civil aviation unit, plummeted when airlines stopped flying last year, resulting in a few perilous months before the company ran out of cash and do not guarantee loans.
Rolls-Royce also needed to make sure it had the right expertise to tackle the challenge of decarbonization, Eng added.
Report by Kannaki Deka in Bengaluru; Editing by Shailesh Kuber