Hamish Grossart brands Oliver Vellacott move a ‘waste of time and money’

Chairman Hamish Grossart confirmed that, in September, Vellacott had made three “indicative offers” to take the company private, ranging between 225p per share to 265p, which were rejected out of hand for being too low and “not credible”.

But Grossart denied that the chief executive’s bid – or its low valuation – played a part in the board’s decision to lessen Vellacott’s executive control. Speaking to The Scotsman, Grossart said: “We neither sought nor do we seek a war, or an unseemly slanging match.”

Grossart, whose role will be voted on by shareholders, called for “a break out of peace” after sources inside Vellacott’s camp said support for his return as chief executive among shareholders had risen to 40 per cent

But a spokesman for the group insisted that Vellacott’s move was “unsettling for suppliers, customers and employees”. He added that, while the board would welcome him dropping the requisition to remove both Grossart and non-executive director Andrew Fulton, replacing them with former Bank of Scotland chief executive Sir Peter Burt and another ally, Waverley Cameron, the board would press ahead with publishing a full case against the return of Vellacott by the end of the year. This would result in an extraordinary meeting at the end of January. Vellacott’s demands would require the support of 50 per cent of shareholders attending.

Grossart also denied that Vellacott was sacked from his jobs as chief executive, but rather he refused to take either an executive deputy chairman role or a non-executive role. “Unfortunately the board was placed in a position against its wishes where Oliver left, and we are slightly bemused by the fact he wants to come back,” said Grossart.

“Oliver is a founder, an ideas man, a mercurial character – a very nice guy – but not a professional manager.”

A spokesman for Vellacott said: “We don’t propose to respond to personal attacks.”