Proactis slammed by major shareholder

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Software firm Proactis is set for a showdown with investors at its annual general meeting on Monday after its biggest shareholder openly criticised its performance.

In a stockmarket announcement, ISIS Equity Partners raised concerns over the company’s share price - which had fallen to 25.75p yesterday from 43p when it listed on the Alternative Investment Market in 2006.

It called for the board to “clearly articulate to all shareholders its strategy for creating shareholder value”, and said Proactis should appoint corporate finance advisers to assess whether investors would get better value through a sale or merger.

Private Equity investor Isis, which owns 26.3 per cent of Proactis’s shares, also called for directors to seek re-election annually.

The company, which designs and licenses software for businesses and organisations to cut the cost of procurement, is holding its AGM at its Wetherby headquarters.