Hedge fund Corvex Management has become the latest activist investor to push for changes at Algonquin Power & Utilities Corp, having amassed a sizeable stake in the Canadian power company, according to a report by Reuters.

Hedge fund Corvex Management has become the latest activist investor to push for changes at Algonquin Power & Utilities Corp, having amassed a sizeable stake in the Canadian power company, according to a report by Reuters.

The report cites unnamed sources familiar with the matter as saying that Corvex, which is led by hedge fund veteran Keith Meister, had a 'friendly' first meeting with Algonquin's management last week. 

Corvex has not revealed the size of its stake or its plans moving forward, but Algonquin, which has a market capitalisation of around CAD7.8 billion ($5.75 billion), has a debt pile of some CAD7.5 billion following a series of acquisitions in recent years.

In January, as part of a plan to bolster its financial strength, Algonquin, which owns and operates regulated utilities, as well as power generating and water assets, across Canada and the United States, said it would seek to raise $1 billion from selling assets, and would slash its dividend payment to shareholders by 40%.

Activists Ancora Holdings Group and Starboard Value also have stakes in Algonquin and have been holding discussions with the power company.