ITG (NYSE:ITG) an independent broker and financial technology provider, today announced that it has added a new independent member to its Board of Directors, Kevin J. Lynch, a private investor and former portfolio manager at JANA Partners LLC, under the terms of a new cooperation agreement with shareholders Philadelphia Financial Management of San Francisco and Voce Capital Management LLC.
Mr. Lynch will join the Board of Directors’ Capital Committee, which reviews the company’s allocation and use of capital in and among its various businesses and geographies and makes recommendations to the full Board regarding capital optimization strategies.
“We appreciate the constructive input we have received from Philadelphia Financial and Voce Capital and my Board colleagues and I look forward to working with Kevin,” said ITG Chairman Minder Cheng. “Given the positive developments at ITG over the past several months in terms of new leadership, new Board members, a sharper business focus and a stronger capital position, we believe we are well positioned to pursue a path of growth in the coming years.”
Justin Hughes, Founding Partner at Philadelphia Financial, noted that “the company is now positioned to realize the long-term potential we see in ITG as an independent institutional broker and financial technology firm. We are pleased that the ITG Board has acted upon several of our recommendations, including input on the CEO search, creation of a capital committee and the appointments of both Kevin and our last board candidate, Jarrett Lilien, who served a critical role as interim CEO. In addition, the successful sale of the energy research business positions the firm well to capitalize on available growth opportunities in financial technology.”
J. Daniel Plants, Founder and Chief Investment Officer of Voce Capital, added, “as a result of the reconstitution of ITG’s Board and senior leadership, we believe that shareholder interests are now adequately represented. Our collaboration with ITG’s leadership in recent months, including today’s appointment of Kevin Lynch, gives us comfort that the Board is well on its way to rebuilding trust and credibility with its shareholders in the same way we know ITG is working to do with its clients. We are encouraged by these steps and look forward to continued partnership with the Board to create value for all shareholders.”
Philadelphia Capital and Voce Capital have committed to support all of the Board’s nominees at ITG’s 2016 annual meeting of shareholders pursuant to the cooperation agreement.