NEW YORK, Oct 2 (Askume) – Southwest Airlines Co (LUV.N) director Rakesh Gangwal , elected to the company’s board amid pressure from activist investors, said on Wednesday he has bought more than $100 million worth of stock. More changes would be “counterproductive.”
According to the co-founder of the SEC, he bought 3.6 million shares of Southwest Airlines stock on Sept. 30 and Oct. 1. He paid between $29 and $30 per share.
He said he made the purchases as soon as the so-called trading window opened, allowing directors and other insiders to buy and sell shares.
Southwest added Gangwal to its board of directors in July as activist investor Elliott Investment Management increased pressure on the airline to change leadership and strategy to improve financial performance. The company announced board changes and other changes last month.
Last month, Southwest said Executive Chairman Gary Kelly would resign and six other directors on the 15-member board would retire.
Elliott has pushed for more changes at the top, including the removal of Chief Executive Bob Jordan . Last week, the company saidPlans call for a special shareholder meeting to push through the changes .
Gangwar told Askume on Wednesday that further upheaval in the executive team and board would harm shareholders. “I believe making changes to the board composition and senior leadership beyond those previously announced would be counterproductive and not in the best interest of shareholders.”
