Better's board urges ousted CEO Garg to drop reinstatement bid

Better Home & Finance Holding Company (NASDAQ: BETR) has publicly called on former Chief Executive Vishal Garg to abandon his campaign to reclaim the CEO role and replace a majority of the company's board of directors, according to a statement issued by the company.

The board unanimously voted to remove Garg as CEO, with Garg not participating in that vote. The company said Garg initially accepted the decision but has since launched an effort to reverse it. Better said Garg has failed to secure enough shareholder support to remove directors, even accounting for the voting power attached to his Class B super-voting shares.

The company alleged that Garg's shareholder solicitation violated federal securities laws and that he disclosed confidential company information during his public campaign. Better said it plans to file a preliminary consent revocation statement with the U.S. Securities and Exchange Commission.

The company cited Garg's tenure as CEO, noting that since 2022, Better accumulated more than $1.5 billion in losses and its publicly traded shares lost more than 90% of their value. The statement also referenced past legal matters, including a jury finding Garg in breach of fiduciary duties and lawsuits from financial institutions alleging "flagrant self-dealing."

Better said it is conducting a search for a new CEO to lead the company going forward.

You May Also Be Interested In

• Google and Blackstone data-center venture hits delays at key sites - Bloomberg
• Rocket Lab launches germanium-free solar cell for space applications
• Galaxy Digital gets conditional classifications for 4.2 GW of Texas data centers