EssilorLuxottica shareholder body propose independent director to ease deadlock

FILE PHOTO: Sunglasses from Ray Ban, a Luxottica owned brand, are on display at an optician shop in Hanau, Germany, March 18, 2016. REUTERS/Kai Pfaffenbach/File Photo

April 18, 2019

PARIS (Reuters) – Valoptec International which represents employees and former employees of Ray Ban maker EssilorLuxottica has proposed the appointment of an additional independent director to the group’s board in a bid to resolve governance issues.

Valoptec said in a statement it had submitted a draft resolution for a May 16 EssilorLuxottica shareholders meeting, to appoint British national Peter James Montagnon as independent director.

The group that resulted from a merger of French lenses producer Essilor and Italian frame manufacturer Luxottica last October, creating the world’s largest eyewear maker in a 54 billion euro ($61 billion) deal, has been embroiled in a bitter dispute as each accuse the other of trying to dominate.

Valoptec said that with the appointment of Montagnon, EssilorLuxottica’s board would have a greater proportion of independent directors who would be able to promote exemplary and effective governance, and constructive perspective in implementing the merger agreement.

“EssilorLuxottica combines two great businesses which are being held back by a corporate governance logjam. The first task is to resolve this impasse in everybody’s interest,” Montagnon said in the statement.

(Reporting by Matthias Blamont; Writing by Bate Felix; Editing by Alexandra Hudson)

Source: OANN