Activist shareholder John Fredriksen has strengthened his foothold in TUI AG (TUIGn.DE) by raising his stake in Europe's largest tourism group to about 19 percent from 18 percent, several sources familiar with the matter told Reuters.
Fredriksen, TUI's largest shareholder, has been at loggerheads with Chief Executive Michael Frenzel over the company's business strategy for more than a year and a half. TUI earlier this year bowed to one of Fredriksen's demands by selling its Hapag-Lloyd container shipping division.
At the same time that Fredriksen is buying more shares in TUI, Frenzel is trying to attract additional "friendly shareholders", a source told Reuters on Monday.
"He (Frenzel) has been to Russia and the Gulf region for this reason", one of the sources said. TUI declined to comment.
Fredriksen had tried to oust TUI Chairman Juergen Krumnow at the company's annual shareholder meeting in May, but failed -- just as he had in an earlier attempt the year before.
Before the AGM, the Norwegian shipping tycoon had asked for two seats on TUI's supervisory board -- one for himself and one for his aide Tor Olav Troim.
TUI had offered him one seat for a neutral representative, arguing that there was no basis for establishing a good working relationship with Fredriksen and Troim following some harsh verbal attacks from the two Norwegians.
Later, Fredriksen said he wanted to establish a friendly relationship with TUI's management.There have been talks recently between the shipping magnate and TUI executives, the sources said, adding that no deal had been reached so far.
TUI chief Frenzel has the backing of a group of shareholders including hotel owners such as RIU as well as Russian investor Alexei Mordashov. The group accounts for about a third of TUI shares and has voted in favour of the board in the past.
Fredriksen, TUI's largest shareholder, has been at loggerheads with Chief Executive Michael Frenzel over the company's business strategy for more than a year and a half. TUI earlier this year bowed to one of Fredriksen's demands by selling its Hapag-Lloyd container shipping division.
At the same time that Fredriksen is buying more shares in TUI, Frenzel is trying to attract additional "friendly shareholders", a source told Reuters on Monday.
"He (Frenzel) has been to Russia and the Gulf region for this reason", one of the sources said. TUI declined to comment.
Fredriksen had tried to oust TUI Chairman Juergen Krumnow at the company's annual shareholder meeting in May, but failed -- just as he had in an earlier attempt the year before.
Before the AGM, the Norwegian shipping tycoon had asked for two seats on TUI's supervisory board -- one for himself and one for his aide Tor Olav Troim.
TUI had offered him one seat for a neutral representative, arguing that there was no basis for establishing a good working relationship with Fredriksen and Troim following some harsh verbal attacks from the two Norwegians.
Later, Fredriksen said he wanted to establish a friendly relationship with TUI's management.There have been talks recently between the shipping magnate and TUI executives, the sources said, adding that no deal had been reached so far.
TUI chief Frenzel has the backing of a group of shareholders including hotel owners such as RIU as well as Russian investor Alexei Mordashov. The group accounts for about a third of TUI shares and has voted in favour of the board in the past.