Ricardo reiterates opposition to Science Group, backs chair
Ricardo insisted it was making "good progress" on Friday, as it reiterated its opposition to moves by shareholder Science Group to overhaul the board.
AIM-listed Science Group has built up a 16.2% stake in the environmental and engineering consultancy, and wants chair Mark Clare to step down.
It has previously threatened to requisition a general meeting if its proposed board changes do not go ahead.
However, on Friday Ricardo reiterated that the board continued to "fully support and have confidence" in Clare.
In particular, it argued that Science Group wanted to replace Clare with its own executive chair, which would give the company "effective control of the board without paying for that control".
It continued: "The board believes that Science Group's actions are being taken solely for the benefit of Science Group and its own shareholders, and are contrary to the interests of Ricardo's other shareholders.
"Accordingly, the board has informed Science Group that, having met to consider its demand that the chair be replaced, the remaining non-executive directors have resolve to unanimously reject it."
Ricardo said it was making "good progress" in its portfolio transformation, first announced in 2022, which has seen the company's shift from mobility services to environmental and energy transitions.
Ricardo saw profits and its share price fall sharply over the last year, after the large number of elections in 2024 and mounting geopolitical uncertainty delayed energy transition agendas.
However, it said on Friday it was trading in line with expectations, with both the order book and underlying operating profits up in the first half.
It also announced a business and strategy update for mid-April to "ensure that is shareholders have a full understanding of that actions that are being undertaken to driven performance".
Science Group has yet to comment.
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