AGL shakes up APG board

Suitor appoints three directors after taking an 81% stake in the target.

AGL Energy (AGK) has appointed three directors to the Australian Power and Gas Company (APG) board and announced a change of CEO after taking voting power of approximately 81% in the target.

In a statement to the Australian Securities Exchange, AGL said it intended to exercise its right to appoint a majority of directors to the target's board after its voting power exceeded 50 per cent.

AGL appointed its chief financial officer Brett Redman, company secretary Paul McWilliams and head of capital markets John Hobson as APG's new non-executive directors.

They replace Michael Hogg and Shinji Wada, who have resigned effective immediately, and Richard Davison also ceases his position as alternate director for Mr Hogg.

AGL announced that Australian Power and Gas chief executive officer James Myatt ceases his employment, effective immediately.

Australian Power and Gas' chief financial officer Warren Kember has been appointed interim CEO.

AGL has also announced it will acquire additional shares in Australian Power and Gas Company Ltd on-market instead of off-market.

In a statement to the, AGL said it would pay up to 52 cents per share, the price at which it made an off-market takeover offer.

AGL now has voting power in APG of 81%, after lifting it to 75 per cent last week.

The Australian Competition and Consumer Commission said the takeover was unlikely to substantially lessen competition in Victoria's energy sector.