BOSTON, October 1 (Reuters) – Institutional Shareholder Services on Friday recommended NextGen Healthcare Inc NXGN.O Shareholders elect the four management nominees and eliminate the cumulative vote.
The influential proxy consulting firm is backing the management and board of directors rather than backing NextGen’s founder, Sheldon Razin, who has nominated four directors to the board. Razin has criticized the company’s poor financial results.
ISS said the recent board and management changes “seem sufficient to put the company in a stronger position to execute its revenue growth strategy,” adding, “The dissident has not argued that additional changes are currently preferable. “
NextGen hired healthcare information technology veteran David Sides as chief executive officer last month, three months after his predecessor left the company.
Razin, who has served on the board since 1974, nominated two existing board members and two additional candidates to replace four board members.
Management nominated four current board members, but not Razin.
Shareholders will vote on October 13th.
(Reporting by Svea Herbst-Bayliss in Boston Editing by Matthew Lewis)
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