March 9 (Reuters) - One of Ambac Financial Group Inc.’s largest shareholders went public on Wednesday for the first time with its campaign to shake up the bond insurer’s leadership team, taking aim at the CEO’s pay and transparency.
Hedge fund Canyon Capital Advisors LLC, which is Ambac’s fourth largest shareholder with a 4.5 percent stake, issued a press release that said CEO Nader Tavakoli’s compensation was extravagant compared to the company’s stock performance, and that his capital investment plan lacked transparency.
Reuters reported last week that Canyon Capital was preparing to launch a proxy fight aimed at the $750 million company, with plans to name a slate of directors to stand for election at the annual meeting.
An Ambac spokesman did not immediately respond to a request seeking comment on the Canyon Capital press release.
Reporting by Michael Flaherty; Editing by Chizu Nomiyama