Fiesta Restaurant Group Gets ISS Backing on Its Nominees

Fiesta Restaurant Group confirmed in a regulatory filing with the U.S. Securities and Exchange Commission that shareholder proxy advisory firm, Institutional Stockholder Services (ISS) has recommended that shareholders vote for all of the company’s board nominees, and not the two nominees proposed by a group led by JCP Investment Management. Subsequently, JCP issued a response commending ISS for recognizing “areas of concern” surrounding the current board, namely, its ineffective oversight and lack of restaurant industry experience. ISS also notes that while Fiesta added directors with restaurant experience, it kept many of its inexperienced board members.

However, JCP and its affiliates, which collectively hold approximately 9.0% of Fiesta stock, urged shareholders to vote for its nominees as “stockholders deserve to be represented by directors who will consistently and proactively take action in their best interests…not directors who need to be publicly pressured to do so.”

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