Tempur Sealy's largest shareholder, H Partners Management, announced plans Monday to vote against re-electing CEO Mark Sarvary, chairman P. Andrews McLane and Christopher A. Masto to the company's board.
H Partners, which has demanded that the three step down and that it be given a board seat, has urged other shareholders to vote against the re-election because Tempur Sealy performance has lagged under their leadership.
Tempur Sealy's annual meeting is May 8 in Boston. The Lexington-based company had no immediate comment, but it has said that H Partners' claims are misleading and its actions destructive.
In a letter to shareholders with the proxy statement, Tempur Sealy said the company had a strategy to produce "strong growth between 2015 and 2018," including 6 percent net sales growth, 50 basis points of operating margin improvement, and 15 percent growth in adjusted earnings per share, including achieving an adjusted earnings per share target of $4 in 2016.
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H Partners, which owns about 10 percent of the Tempur Sealy shares, instead wants the board reconstituted.
Last week, H Partners filed paperwork with the SEC saying it had demanded production of certain books and records from the company relative to the campaign to oust Tempur Sealy's executive leadership.