(Reuters circulated the following on February 7.)
NEW YORK — British hedge fund Children’s Investment Fund (TCI) on Thursday accused CSX Corp. of making a “disingenuous” change to its corporate bylaws in the latest move in a months-long proxy campaign at the rail transportation company.
TCI, which last December said it planned to run a minority slate of five candidates for the CSX board at its upcoming annual meeting, told the company in a letter that the bylaw change disclosed on Wednesday would hamper shareholders from nominating company directors.
“We believe it is a disingenuous effort to appear shareholder-friendly while preventing shareholders from ever being able to nominate directors at a special meeting,” said TCI in the Feb. 7 letter obtained by Reuters.
The letter is the latest in an ongoing war of words between TCI, which is leading a shareholder group holding an 11.8 percent stake in shares and derivatives in the company, and CSX, one of the nation’s largest rail companies.
A spokesman for CSX could not immediately be reached for comment.