(Reuters)PG&E Corp shareholder BlueMountain Capital Management LLC said on Thursday it is preparing a challenge to the embattled utility owner’s board, arguing its plan to file for bankruptcy in the wake of catastrophic wildfires in California is harming investors. The hedge fund, which owns about 2 percent of PG&E, said it is trying to rally support from other shareholders to replace all 10 of the company’s board members at this year’s annual meeting expected in May.
BlueMountain’s chances of success are remote, given that PG&E has said its bankruptcy filing may come as early Jan. 29. However, the maneuvering could end up giving BlueMountain a bigger role in any bankruptcy negotiations.
