Ecotricity has filed a motion to oust chairman William Whitehorn as a director at rival firm Good Energy.
It sent a requisition notice to the energy supplier’s board of directors on Christmas Eve, forcing the firm to convene a general meeting of shareholders.
The requisitioned general meeting will be held on 11 February 2022 at the offices of SEC Newgate in London.
Attendees will vote on two resolutions: an ordinary resolution to remove William Whitehorn from office as a director of the company, and a special resolution to direct the board not to dispose of the Good Energy’s assets without shareholder approval.
Good Energy has unanimously recommended that other shareholders should vote against the resolutions.
Ecotricity has a 25 per cent stake in Good Energy, while also operating as a rival green energy supplier from its base in Gloucestershire.
It failed in a hostile takeover bid for the Chippenham-based supplier last year, with its offer only tempting 2.5 per cent of shares.
Good Energy slams ‘disruptive’ rival ahead of shareholder meeting
Outlining its reasons for opposing the two resolutions, Good Energy described Whitehorn’s track record at the company as “successful” with the director overseeing “revenue growth through 2019 and 2020” following his arrival three years ago.
The company also praised his knowledge of the sector, which it describes as “highly relevant to Good Energy’s strategy.”
It also wants to push forward with selling its generational assets, with Good Energy now pursuing a highly decentralised process focused on buying power from renewables generators for 175,000 customers rather than building and operating its own infrastructure.
Recently, Good Energy commenced an auction process run by KPMG for the sale of the generation portfolio.
Alongside its explanation for rejecting the two resolutions, Good Energy criticised Ecotricity’s “disruptive behavior”.
It said: “The board believes Ecotricity’s actions are motivated by its position as a competitor of the company and that it is seeking to block the company’s ability to push forward with its successful modern, digital first strategy for the benefit of all shareholders.”
Last month, Good Energy called on the government to protect the energy industry, after 25 UK suppliers ceased trading over the winter, affecting four million customers.
The supplier is facing highly challenging market conditions, where soaring wholesale gas costs amid increased demand, storage issues and supply shortages.
Nigel Pocklington, chief executive of the energy supplier described the situation as a “national crisis” and warned that “no one in the industry is immune.”
He said: “We urge the UK government to support the industry at large in navigating these short-term challenges to protect bill-payers and those that serve them.”
Good Energy is listed on the FTSE Aim-All Share, with prices closing at 245p per share yesterday.