Einhorn Call for GM Changes Rejected by Shareholder Advisers
- ISS joins Glass Lewis recommendation against Greenlight
- Einhorn wants dual class shares and 3 new board members
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Two shareholder advisory firms have recommended support for current General Motors Co. board members and against creating a dual share class, proposals advanced by activist investor David Einhorn to boost the automaker’s stock.
“The dissident has not made a compelling case that change at the board level focusing on the implementation of its proposal is warranted,” Institutional Shareholder Services wrote in a report released Friday. “The negative outcomes associated with the proposed dual class share structure combined with the lack of visibility regarding value creation for shareholders drive our recommendation against the dual class proposal.”