Published by Global Banking and Finance Review
Posted on November 29, 2025
Nov 29 (Reuters) - U.S. investor Steven Wood accused Swatch Group of "worst-in-class governance", proposing changes to the Swiss watchmaker's board and governance reforms, the Financial Times reported on Saturday.
Wood, the founder of GreenWood Investors, which says it holds about 0.5% of Swatch's share capital, has ditched plans to gain a board seat and is pushing the board to adopt a package of reforms, the newspaper said.
GreenWood did not immediately respond to Reuters' requests for comment.
"I no longer think of the primary goal as going on the board and having a constructive relationship," Wood told the FT. "These are new moves to force them to evolve their worst-in-class governance."
GreenWood Investors made six proposals on Monday to amend Swatch's corporate governance, including allowing so-called bearer shareholders to elect three representatives to the board. The bearer shareholders hold a majority of the firm's share capital but not of its voting rights.
In an emailed statement to Reuters, Swatch said that it received a letter from GreenWood Investors. "GreenWood Investors informs us that they will provide evidence that GreenWood fulfils the legal requirements for placing motions on the agenda of the next Annual General Meeting. We have not yet received any such evidence," Swatch added.
Wood has been pressing Swatch to focus more on its luxury brands such as Breguet and Blancpain in an attempt to turn around the fortunes of the Swiss company, whose shares have roughly halved in value since early 2023.
Swiss stock exchange operator SIX said in November that Swatch will be removed from the benchmark Swiss Leader Index (SLI) next month after a decline in the watchmaker's market capitalization and lower trading volumes in its shares.
The company in July reported sales falling more than expected in the first half of 2025 as it faced weakness in its key Chinese market.
In May, Wood failed in a bid to secure a seat on the company's board as a bearer shareholder representative, meeting resistance from the Hayek family, which controls over 44% of voting rights and a smaller chunk of the share capital.
Swatch's board recommended Wood's bid be rejected, and the company said 79.2% of shareholders voted against his election at the annual general meeting.
Known for its plastic watches and luxury brands including Tissot, Longines and Omega, Swatch acknowledges bearer shareholders' right to representation but disputes how they should be chosen.
(Reporting by Rishabh Jaiswal and Rajveer Singh Pardesi in Bengaluru; Editing by William Mallard and Toby Chopra)
