Unite Group’s Largest Shareholder CPPIB Cuts Stake, Steps Down from Board
CPPIB Reduces Stake and Board Representation in Unite Group
June 23 (Reuters) - Britain's largest student housing provider Unite Group said on Tuesday that CPP Investment Board (CPPIB), the company's largest shareholder and an activist investor, has reduced its stake to 7% from 14.08%.
Key Details of the Stake Reduction
Here are some details:
Shareholder Position Changes
• Following the reduction, CPPIB will become Unite's second-largest shareholder, behind Norges Bank Investment Management, according to LSEG data.
Board Representation Update
• Thomas Jackson, CPPIB's nominated director, will step down as non-executive director with immediate effect following the stake reduction.
Implications of Shareholding Drop
• The shareholding drop below 10% removes CPPIB's right to appoint a board representative under a relationship agreement established when Unite acquired Liberty Living from CPPIB in 2019.
CPPIB’s Statement on Relationship with Unite
• Jackson said CPPIB "values its constructive relationship with Unite and remains supportive of its strategic priorities" despite the reduced stake.
Unite Group’s Strategic Focus
• Unite Group in April said it was exploring options to speed up asset sales to focus on accommodations yielding higher returns.
Reporting and Editorial Credits
(Reporting by Nithyashree R B in Bengaluru; Editing by Eileen Soreng)
