National Express and activist hedge fund Elliott Advisors, its largest shareholder, have came to an agreement, just few hours before National Express’ annual meeting. The deal between the transport group and Elliott Advisors states that one of Elliott Advisors’ candidates will be appointed as a non-executive director from National Express. As a return, Elliott’s amendments for the AGM demanding a drastic reorganization have been withdrawn and the company promised not to confront National Express’ board again in the next 12 months.

Currently, Elliott owns 18% of National Express and has defended the idea that the transport group needed a big change on its strategy, due to the last challenging years, in which the company lost East Anglian rail franchise. In March, a boardroom change was announced by Elliot. The company argued that National Express’ focus should be on markets overseas, such as the US. Despite the fact that Elliott won the support of second largest shareholders of National Express, other investors - the Cosmen family - backed Dean Finch, National Express chief executive.

On Tuesday morning, US hedge Spokesman announced that it would be a pleasure to have Chris Muntwyler, former UK boss of DHL, joining the firm.

National Express’ AGM is being held at London's Kings Place. National Express’s executives said they were relieved that for at least 12 months, Elliott would not try to agitate against the company.