Southwest Airlines taps Ganghal amid Elliott pressure
Board appointment comes as Elliott ups pressure on airline (Il Sole 24 Ore Radiocor) - New York, 08 Jul - Southwest Airlines has appointed aviation veteran Rakesh Gangwal as a member of its board at a time when the US carrier is coming under mounting pressure from activist investor Elliott.
The airline said the appointment would be effective today.
"I am delighted to welcome Rakesh, who brings to our Board decades of valuable experience as an executive and entrepreneur at some of the world's leading airlines," said Gary Kelly, Executive Chairman of Southwest's board.
Southwest Airlines said recently it had adopted a shareholder rights plan imposing significant dilution upon anyone buying 12.5% or more of the airline's stock without the prior approval of the Board.
The move came after Elliott said last month it had built a stake of about 11% in Southwest and had sent a letter to the Board of Directors calling for upgraded leadership at the US carrier and a comprehensive business review.
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(RADIOCOR) 08-07-24 17:10:26 (0497) 5 NNNN