The Restaurant Group (TRG), the operator of Wagamama, has welcomed constructive input from its shareholders at the Oasis Management Company, who issued the company a letter yesterday (16 February) calling on it to restore market confidence.
In this letter, Oasis outlined a proposal for a governance review, which included a request for a seat on the TRG board and a strategic review to be conducted by an “independent bank”.
According to TRG, the request was made without the shareholder giving indication of strategic ideas that should be examined by the board.
As a result, the restaurant operator’s board decided that “it would not be in the interest of other shareholders to grant Oasis a board seat”.
In light of Oasis’ request, TRG has pointed out that its operational performance since Covid has been resilient. The group also announced in December 2022 a long-term debt refinancing for the next four years, with flexible covenant arrangements and the ability to make further repayments as appropriate.
According to TRG’s board, it will “continue to examine options to ensure that the strength of the group’s operating performance generates shareholder value”.
