Cordiant Shareholders Approve 'Demerger'; Investors Eye Options

As expected, shareholders at Cordiant PLC overwhelmingly approved the holding company’s proposal to “demerge” its operating assets into two new, publicly traded companies: Saatchi & Saatchi PLC and Cordiant Communications Group PLC.
The extraordinary general meeting Oct. 23 in London drew only around 30 small investors. More than 60 percent of Cordiant’s outstanding shares are owned by six institutional shareholders, which had already cast their votes of approval by proxy.
Last week, however, the institutional shareholder Cordiant management could previously always count on for support said it would adopt a more activist and less sympathetic stance toward management at all its holdings.