L&G to vote with National Express

National Express has moved a step closer to defeating the activist shareholder that is seeking to appoint a string of new directors to its board at its annual general meeting next week.

Legal & General, the insurance company, which owns6 per cent of the transport group, said yesterday it would vote its shares in favour of National Express's management at the meeting.

The announcement will come as a blow to Elliott Advisers, the hedge fund, which is hoping to get three new directors of its choice on to the board as it seeks to persuade National Express to change strategy. Elliott has18 per cent of the company and is counting on the support of the Cosmen family, which has another 17 per cent, but appears to be struggling to win over other investors.