Swatch Urges Shareholders to Reject US Activist’s Board Election

Swatch Group AG recommended its shareholders vote against US activist investor Steven Wood’s bid to join the Swiss watchmaker’s board.

Wood, founder of Greenwood Investors, has said change is needed at Swatch, in particular to loosen the founding Hayek family’s grip over the company. He is pushing to be nominated as the representative of bearer shareholders on the board at the annual general meeting in May.

But Swatch said Wood is not suitable as a representative of bearer shareholders, given only about 4% of what’s held by GreenWood Builders Fund IV is this type of stock. Instead, the board ...