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By Svea Herbst-Bayliss
NEW YORK, May 4 (Reuters) – Payment processing and information management services group WEX said on Monday it had reached a deal with Impactive Capital to add three board members and make other changes, ending a proxy battle hours before a shareholder vote.
The late-night settlement, hours before shareholders were scheduled to cast final votes on Tuesday to determine who should sit on WEX’s board, ends one of the most bitter proxy fights of the season, which several industry experts had said activist investor Impactive was on course to win.
All three of Impactive’s proposed candidates, including the hedge fund’s co-founder Lauren Taylor Wolfe, will join the board and WEX agreed to split the chairman and chief executive role.
This allows WEX CEO Melissa Smith to keep her seat on the board and for director Stephen Smith, who is not related to the CEO, to stay. Current director Nancy Altobello will leave.
WEX’s annual meeting was postponed by a week.
(Reporting by Svea Herbst-Bayliss)