By Insightia. Originally published at ValueWalk.
What’s New In Activism – Everbridge Beats Ancora
Software maker Everbridge Inc (NASDAQ:EVBG) said all of its nine directors were reelected at the annual meeting, including Chairman Jaime Ellertson and three other board members targeted by 4% shareholder Ancora.
However, lead director and Nominating and Corporate Governance Committee Chair Bruns Grayson received less than 50% support from shareholders at the annual meeting.
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Activist Ancora Advisors had campaigned to remove four directors after pushing for a sale to unlock extra value.
On May 26, Ancora reiterated calls for Everbridge to initiate a sales process due to a lack of support for Ellertson, who received 49.3% opposition at the annual meeting.
The activist went on to add, “We feel stockholders sent a clear message to the board this year that the status quo is unacceptable, and we hope this serves as a catalyst for a shake-up in the boardroom and a credible review of sale options.”
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Activism chart of the week
So far this year (as of May 26, 2022), 20 U.S.-based companies have been publicly subjected to a push for sale of company demand, compared to 13 in the same period last year.
Source: Insightia | Activism
What’s New In Proxy Voting – Amazon Dodges ESG Proposals
Amazon.com, Inc. (NASDAQ:AMZN) faced a record 15 shareholder proposals at its May 25 annual meeting, asking it to report on worker health and safety, tax transparency, climate change, and racial equity. However, none of the proposals received majority backing from investors, management revealed.
At the meeting, Amazon CEO Andy Jassy defended the company’s human rights and health and safety policies, which were the subject of five shareholder proposals. Jassy claimed that the company has taken steps to reduce injury rates, including implementing software to predict and prevent repetitive stress injuries.
Additional proposals asked Amazon to report on retirement plan options aligned with its climate goals, publish a tax transparency report, report on median gender/racial pay gaps, and reduce its plastic use.
Management also revealed that shareholders backed Amazon’s “say on pay” proposal, stock split, and 11 director reelections.
To arrange an online demo of Insightia’s Voting module, send us an email.
Voting chart of the week
So far this year (as of May 26, 2022), management director candidates in North America have averaged 95.3% support. This is lower than their European and Asia-Pacific counterparts, who averaged 97.1% and 97.8% support respectively.
Source: Insightia | Voting
What’s New In Activist Shorts – Boatman Capital v AVZ
Boatman Capital Research has argued Avz Minerals Ltd (ASX:AVZ) will likely be “outmaneuvered” by a group of “powerful” Chinese battery manufacturers seeking control of its prime asset, a lithium mine in Central Africa.
In a May 20 short report, Boatman flagged several issues with respect to the deals behind AVZ’s ownership of the mine and said the company is heading for a legal feud with a host of entities that may be coordinating their moves to take control of the asset.
At worst, AVZ will lose control of Manono and be left with just 36% of the project, said Boatman, which first targeted AVZ back in July 2019 over the same mining project. Back then, the short seller called AVZ “worthless,” alleging the company was given the right to explore the Manono region as part of a scheme designed to enrich a group of unknown investors that might include Congolese officials.
To arrange an online demo of Insightia’s Shorts module, send us an email.
Shorts chart of the week
So far this year (as of May 30, 2022), 14 technology companies have been publicly subjected to an activist short campaign, compared to 25 in the same period last year.
Source: Insightia | Shorts
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