June 2 (Reuters) - Dye & Durham ( DYNDF ) on Monday

announced a dramatic shift in leadership when it named a new

chief executive and a new chief financial officer, ignoring

demands from a former chief who is also a large investor to

pursue a different course.

The Canadian legal software maker appointed former

LexisNexis executive George Tsivin as chief executive and

brought back Avjit Kamboj to reprise his role as chief financial

officer. It also hired Nikesh Patel as chief product officer.

"After an in-depth and diligent search, we have assembled a

world-class leadership team to guide the company through its

next chapter," board chair Arnaud Ajdler said in a statement.

Kamboj, who left Dye & Durham ( DYNDF ) in 2022, guided the company's

financial strategy during its initial public offering and

significant growth stages.

The announcement comes two weeks after a former Dye & Durham

CEO, Matthew Proud, urged the company to stop searching for a

new chief and permanently hand the job to the man doing it

already in an interim capacity.

More importantly, Proud, whose company Plantro Ltd

controls 12% of Dye & Durham ( DYNDF ), urged a board refresh and is

pushing the company to divest the financial services division

and then begin work on selling the remaining core business. He

also said he is ready to call a special shareholder meeting

unless the board considers the changes he is proposing. He

stepped down from the CEO position six months ago.

Dye & Durham's ( DYNDF ) financial performance has worsened, Proud

said on Monday, as earnings have dropped against a backdrop of

higher costs and flat revenue. The company has not publicly

responded to Proud's criticisms.

The company last month reported third quarter fiscal

2025 earnings and its stock price tumbled 50% in the last six

months, valuing the company at roughly $490 million.

The stock price fell nearly 2% in early trading on

Monday.

At December's annual meeting, activist investor Engine

Capital, run by Ajdler, won control of the board through a proxy

fight.