TransCanada Corp, under pressure from an activist hedge fund to overhaul its business, said on Wednesday its board adopted new bylaws that require advance notice of director nominations. The company did not indicate if the move had anything to do with pressure from activist fund Sandell Asset Management Corp.Many publicly listed companies have begun to adopt so-called advance notice bylaws that prevent activists or other investors from springing a surprise slate of board nominees at an annual meeting.Along with other minor changes to bylaws around the quorum requirements at a shareholder meeting, Calgary, Alberta-based TransCanada also formalized the power of the chairman to adjourn any shareholder meeting at any point if appropriate in case of questions around the legality of proxy votes.Although it is fairly accepted that the chairman of a company's shareholder meeting has that power, it sounds like TransCanada is trying to enshrine the practice into its bylaws, said Brad Allen, whose firm Branav Shareholder Advisory Services advises boards and others on corporate governance practices.
TransCanada Corporation (TransCanada) is a North American energy infrastructure company focused on natural gas pipelines, oil pipelines and energy. Shares of TRP traded higher by 0.89% or $0.44/share to $49.82. In the past year, the shares have traded as low as $42.21 and as high as $58.40. On average, 1907930 shares of TRP exchange hands on a given day and today's volume is recorded at 912238.
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