OMEGA AGREES TO CALL SPECIAL MEETING, NEW CHAIRMAN LIKELY

Bermuda-based, London-listed Lloyd's insurer Omega has finally agreed to hold a special general meeting (SGM) after a long period under pressure from major shareholder Invesco, which wants to eject Walter Fiederowicz as chairman and to replace him with former Benfield chairman John Coldman. Invesco is believed to have the backing of enough other shareholders to push through its proposals. After a two-day meeting at the end of last week Omega stated that "the board recognizes that it is the wish of those shareholders to make significant changes to the board, including the appointment of John Coldman as chairman". Omega has also agreed to appoint James Bryce, Bermuda-based ex-Aon executive and sidecar expert Robin Spencer-Arscott, plus Bermuda-based lawyers Jonathan Betts, Ernest Morrison and David Cooper, all with Cox Hallet Wilkinson. Mr Fiederowicz, Christopher Clarke and three other non-executive directors will step down as directors if the Invesco resolutions are passed. Omega expects the SGM to be held in early March. The dispute began last September, when John Robinson, a co-founder of the company and its head underwriter, suddenly left, to be replaced by Daria Vanous. Mr Robinson is believed to have put his 7%-plus holding in with Invesco, has have Jupiter Asset Management, Aviva, Threadneedle Asset Management and J O Hambro. Last July Omega decided to reduce the level of pre-emption that it would be offering to Members for the 2010 year of account (IIN 24, July 28 2009), a move which could have caused internal tensions on the company's strategic direction.