NRG Energy Inc's shareholders voted to reject the slate of directors that rival Exelon Corp had proposed to be part of NRG's Board on Tuesday during the annual shareholders meeting in New Jersey, according to Reuters.
NRG instead, reelected its own four nominated directors with 75 percent of the votes in favor, according to the news agency.
“NRG stockholders understood that this vote was all about value and they voted overwhelmingly to send a message that Exelon’s current offer was unfair to NRG stockholders,” said David Crane, President and Chief Executive Officer in a statement Tuesday. “We want to thank our stockholders for their support today.”
Chicago-based Exelon, the largest U.S. nuclear power company, wanted NRG shareholders to elect a proposed slate of four new directors to the NRG's board who would push for NRG's acquisition.
Shareholders also rejected another Exelon proposal to expand the size of the NRG board to 19 members and elect an additional five Exelon-backed directors.
However NRG condemned the proposals as inadequate and not in the best interest of NRG and its stockholders. The independent energy firm said Exelon was seeking to influence the Board to favor its hostile acquisition offer.
NRG has rejected Exelon's bid twice saying it undervalues the company.
Exelon Chief Executive John Rowe said last week in a statement, if none of its nominated directors were elected or only four did, Exelon would abandon its efforts to acquire NRG and go its own way.
NRG will continue to evaluate any combination offers from Exelon or others, but will focus on delivering record financial results, Crane said in the statement.