Speedy Hire Plc (SDY.L) said its Executive Chairman Jan Astrand would continue in the role, after shareholders voted against a resolution by its largest stakeholder to oust him.
Toscafund Asset Management LLP, which owns a 19.44 percent stake in Speedy, called for Astrand's removal last month, saying he was "indecisive as a business leader" and that he had failed to consult with shareholders about key board appointments.
Industrial tools and equipment rental company Speedy Hire also said in a statement on Friday that its shareholders had voted to appoint David Shearer as a director of the company.
The fund was pushing for Shearer's appointment to the board.
Shearer was the chairman of infrastructure company Mouchel Group Plc between 2012 and 2014 and played a big role in its turnaround.
Toscafund did not immediately respond to a request for comment.
(Reporting by Noor Zainab Hussain in Bengaluru)