Shares in publisher Johnston Press fell on Monday after their largest shareholder called for the replacement of chief executive Ashley Highfield.
Hedge fund Crystal Amber became the publisher’s largest shareholder last week, after increasing their stake from 6.7 percent to 18.6 percent. Crystal Amber is said to have bought the majority of shares from Orbis Investment Management, who was previously the publishers’s largest shareholder, holding a 12.97 percent stake.
Johnston Press, which publishes a list of national and local papers including the i and The Yorkshire Post, have seen shares fall over 50 percent over the past year and had net debts of £137.7 at the beginning of July.
Investors have gotten increasingly uneasy over the financial health of the company, despite striking a £17 million deal to sell 13 regional titles to Iliffe News and Media. The hedge fund is said to have called a meeting with the group’s interim chairman, Camilla Rhodes, to discuss the replacement of Highfield as CEO.
The replacement of Highfield as CEO is one of several routes being considered the boost the publisher’s fortunes. Whilst Highfield appears to have the support of several other major shareholders, the company have reportedly said they would welcome Crystal Amber representation on the board in order to move the Johnston Press forward.
Johnston Press (LON:JPR) shares are currently down 1.44 percent at 16.39 (1124GMT).