22 April 2004 01:18
Evil Knievil jumps into Corus row as Russian backs down
TROUBLED steel giant Corus came under attack at its annual meeting in London today from investors led by Simon
Cawkwell, the share raider known on the stock market as Evil Knievil, writes Robert Lea.
Attacking a "very bad" underlying performance from UK steel interests, Cawkwell said investors had a right
to expect improved results soon from chief executive Philippe Varin, brought in from French metals giant Pechiney a year
ago.
Slamming Varin's restructuring plan, Restoring Success, Cawkwell said: "There is a logic gap. Corus has
never succeeded. Restoring Success starts from an impertinent and implausible premise."
After the meeting, Cawkwell, who claims to have made GBP1.5 million trading Corus shares in recent months, having
bought 10 million at around 10p each last year, said he believes Corus is "a sitting duck" for a takeover,
which could yet come from Alisher Usmanov, the multimillionaire Russian metals magnate who has built a one-sixth
stake.
Usmanov last night withdrew his threat to hijack themeeting with a demand that his representative, disaffected
ex-Corus executive Add van der Velden, be elected to the board.
But Corus chairman Jim Leng and Usmanov appear now to be at loggerheads.
Leng told investors he regretted Usmanov "had failed to confirm the permanent withdrawal" of the
nomination.
Usmanov told the BBC: "We are not going to leave Corus.
We will increase our share quantity until the management has no option other than to take that into
account."
Corus shares were off 3/4p at 393/4p.
[Evening Standard] |
RUSSIA IN FACTS
