Shares of Southwest Airlines Co. $(LUV)$ ascended 1.1% in premarket trading, after activist investor Elliott Investment Management L.P. said it called a special meeting for shareholders, so they can elect "a completely independent" board of directors. Elliott, which owns an 11% stake in the air carrier, said it called the meeting after "exhaustive attempts" to persuade Southwest to implement necessary changes to its corporate governance. "Absent a thorough reconstitution of its Board, the story of Southwest will remain one of empty promises and unfulfilled potential," Elliott Partner John Pike and Portfolio Manager Bobby Xu said in a statement. Elliott's latest move comes after hedge fund has criticized Southwest's management as being "inadequate" and has called for a refreshment of the airline's board. Southwest's stock has gained 6% year to date through Friday, while the U.S. Global Jets ETF (JETS) has advanced 10.7% and the S&P 500 (LUV) has rallied 21.9%.
-Tomi Kilgore
For more from MarketWatch: http://www.marketwatch.com/newsviewer
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
October 14, 2024 09:09 ET (13:09 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.
免責聲明：投資有風險，本文並非投資建議，以上內容不應被視為任何金融產品的購買或出售要約、建議或邀請，作者或其他用戶的任何相關討論、評論或帖子也不應被視為此類內容。本文僅供一般參考，不考慮您的個人投資目標、財務狀況或需求。TTM對信息的準確性和完整性不承擔任何責任或保證，投資者應自行研究並在投資前尋求專業建議。