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These disclosures are from 13Ds filed with the Securities and Exchange Commission. 13Ds are filed within 10 days of an entity’s attaining more than 5% in any class of a company’s securities. Subsequent changes in holdings or intentions must be reported in amended filings. This material is from April 7 through April 13, 2022. Source: Verity
Activist Holdings
Emcore (EMKR)
Cannell Capital switched to an active stance by filing an initial 13D that disclosed ownership of 3,720,303 shares—10% of the total outstanding—of Emcore, a fiberoptics company. The filing also disclosed the purchase of 48,690 shares on Feb. 10 at $4.06 apiece. Cannell said it had acquired the stock “in the ordinary course of business and not with the intent to change or influence control of the company.” However, Cannell included a letter to Emcore’s chairman, Stephen Domenik, as an exhibit. In the letter, dated April 11, Cannell disclosed its engagement with the management of Emcore and said it had presented two candidates to the board, but that Emcore had “made no attempt to reach out to either candidate, nor has it provided [Cannell] any basis for its rejection.”
Cannell also pointed to the underperformance of the stock and said that “it is the opinion of [Cannell] that most, if not all, of the blame for this dramatic undervaluation rests upon the shoulders of [Emcore’s] officers and directors, many of whom have arguably violated their duty of service to shareholders.”
Treehouse Foods (THS)
Jana Partners disclosed that it had entered into a letter agreement with the maker of private-label food and beverages. In it, Treehouse Foods agreed to appoint Scott Ostfeld to the board. Ostfeld is a partner and portfolio co-manager of Jana. In connection with the agreement, Jana withdrew a previous letter, the intent to nominate three members to the board, and the “demand to inspect certain books and records” of Treehouse.
Jana owns 5,131,097 Treehouse shares, a 9.2% stake, and disclosed the sale of 11,757 from March 2 through March 4, at prices ranging from $36.46 to $37.99. The filing said the sales were “made in connection with investment fund allocation matters.”
Original Filings
Ingevity (NGVT)
Inclusive Capital Partners bought 1,086,106 shares of the specialty-chemicals firm from Feb. 16 through April 7, at prices ranging from $60.82 to $66.87. The purchases increased Inclusive’s stake to 2,111,405 shares, or 5.4% of Ingevity’s outstanding shares. According to the initial 13D, the stock was bought “based on the belief that the shares were undervalued and represented an attractive investment opportunity.” Inclusive revealed that it has had, and anticipates continuing, talks with Ingevity’s management and directors.
Increases In Holdings
Groupon (GRPN)
Pale Fire Capital increased its aggregate holding of Groupon shares to 3,548,389. That gives it an 11.9% stake in the consumer-deals company, if the stock held by partners Dusan Senkypl and Jan Barta is included. Combined, Pale Fire and its partners bought 701,223 shares from March 7 through April 7 at $16.60 to $20.23 a share. Pale Fire also sold 500 on March 4 at $22.79 each.
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