Hedge fund Elliott Investment Management steps up pressure on Southwest Airlines' management
A hedge fund that's been urging Southwest Airlines to dump its CEO and chairman says it has acquired enough of the company's stock to call a special meeting of shareholders
DALLAS (AP) — Elliott Investment Management, a hedge fund urging Southwest Airlines to dump its CEO and chairman, said Tuesday it has acquired enough of the company's stock to call a special meeting of shareholders.
The move gives Elliott, the Paul Singer-led investment fund, more leverage in its proxy fight heading into a meeting with Southwest officials next Monday.
Elliott said in a regulatory filing that it owns more than 61 million shares, at least 10% of Southwest, the nation’s fourth-largest airline by revenue. Under Southwest’s bylaws, that gives Elliott the power to call a meeting at which shareholders could vote on board candidates.
Elliott has proposed a slate of 10 candidates, including former CEOs of other airlines, for Southwest’s 15-member board.
