Monthly Archives: October 2013

Starwood Property Trust to Spin Off Rental REIT

Starwood Property Trust has approved a spin-off of its single-family residential business to its stockholders. The newly formed REIT, to be called Starwood Waypoint Residential Trust, will apply to list on the New York Stock Exchange and trade under the ticker symbol “SWAY.” Upon completion of the spin-off, SWAY will be one of the largest…

Wynnefield Adds to Telos 12% Preferreds

The Wynnefield Reporting Persons purchased additional Preferred Shares on October 25, 2013 because of their continuing belief in the inherent value of the Preferred Shares. The Wynnefield Reporting Persons intend to continue their efforts to have the value of the Preferred Shares realized through the redemption of their principal and accrued dividend arrearages, and may…

Clinton Group Sends Detailed Letter to ValueVision

October 30, 2013  Mr. Randy S. Ronning Chairman ValueVision Media Inc. 6740 Shady Oak Road Eden Prairie, MN 55344  Re: Enhancing Shareholder Value at ValueVision Media  Dear Mr. Ronning:  As you know, Clinton Group, Inc. is the investment manager for several partnerships and funds (collectively “Clinton”) that collectively own more than 5% of the common…

WiLAN to Explore Strategic Alternatives

Wi-LAN Inc. has initiated a process to explore and evaluate a broad range of strategic alternatives for the Company to enhance shareholder value. The Company strongly believes in its current business strategy but does not believe that its current share price accurately reflects its strong balance sheet, the value of its signed license agreements, its…

Sarissa Capital Files 13D on Ariad Pharma

The Reporting Persons acquired the Shares with the belief that the Shares were undervalued. The Reporting Persons believe that the expertise and experience of its principals would be extremely beneficial to the Issuer and intend to seek representation on the Issuer’s board of directors. The Reporting Persons recently contacted the Issuer, identified themselves as one of…

Viad Corp to Pay Special Dividends

Viad Corp has declared a special cash dividend of $2.50 per share, or approximately $50.8 million in the aggregate. Shareholders of record at the close of business on November 7, 2013 will receive the special cash dividend payable on November 14, 2013. The company expects to continue payment of Viad’s regular dividends, which remain subject…

Peapack-Gladstone to Conduct Rights Offering

(Market Cap $164 M) Peapack-Gladstone Financial Corporation intends to conduct a rights offering to existing shareholders for the purchase of up to $35 million of its common stock. A record date of October 21, 2013 has been set for the planned rights offering. Upon commencement of the planned rights offering, the Company will distribute non-transferable…

Cornerstone Strategic Commences Rights Offering

Cornerstone Strategic Value Fund, Inc. announced today that the subscription period for its rights offering to holders of the Fund’s common stock will commence on Friday, November 1, 2013. The Fund is issuing to its stockholders non-transferable rights entitling the holders to subscribe for an aggregate of 6,316,568 shares of the Fund’s common stock. Each…

DuPont Catches the Spin Off Fever

DuPont Board of Directors have authorized management to execute a full separation of its Performance Chemicals segment, which includes the Titanium Technologies and Chemicals & Fluoroproducts businesses. DuPont intends to execute the separation through a tax-free spin-off to shareholders, subject to customary closing conditions. Upon completion of the separation in about 18 months, 100 percent…

Taconic Capital Follows Up on WPX Energy

(Market Cap $4.4 B; Taconic’s average cost is $15.65 per share). [Previously, Taconic had filed a 13D on WPX on 5/20/2013 in which the Fund had stated: “Also, consistent with their investment intent, the Reporting Persons may engage in communications with relevant parties regarding the Company and ways to enhance shareholder value, including, but not…

Starboard Sends Another Letter to Wausau Paper CEO

On October 22, 2013, Starboard Value LP (“Starboard”) delivered a letter to the Issuer’s President and CEO, Henry C. Newell, and the Issuer’s Board of Directors (the “Board”). Starboard had privately sent two letters to Mr. Newell and the Board since May 2013 and had engaged in discussions with management and the Board regarding the…

JANA Sends a Detailed Letter to QEP Resources Board

(Market Cap $5.6 B)     October 21, 2013   Board of Directors (the “Board”) QEP Resources, Inc. 1050 17th Street, Suite 500 Denver, Colorado 80265 Attention: Charles B. Stanley, CEO Ladies & Gentlemen, JANA Partners LLC (“we” or “us”) beneficially owns 7.5% of the outstanding shares of QEP Resources, Inc. (“QEP” or the “Company”)….

Atlantic Blue Group Buys Majority Stake in Alico

[Market Cap $279 M] Alico is the largest citrus grower in Florida with 130K acres of agricultural land; I had sent an alert on 2/4/2013 when Atlantic Blue Group had filed a 13D in which it had indicated that it “has had discussions with representatives of the Issuer in respect of due diligence and strategic…

Occidental Petroleum Initiates Strategic Review

Occidental Petroleum Corporation has initiated a strategic review to streamline and focus operations in order to better execute the Company’s long-term strategy and enhance value for shareholders. The Board of Directors has authorized the following: Pursue the sale of a minority interest in the Middle East/North Africa operations in a financially efficient manner. Pursue strategic…

Lone Star Makes Case For Callon Petroleum

(Market Cap $280 M; Lone Star Value owns 5.7%) The Reporting Persons purchased the Shares based on the belief that the Shares, when purchased, were undervalued and represented an attractive investment opportunity. Depending upon overall market conditions, other investment opportunities available to Lone Star Value, and the availability of Shares at prices that would make…

Burkle Reminds Morgans that it Needs to Sell Itself

The Yucaipa Companies Ron Burkle October 15, 2013 Board of DirectorsMorgans Hotel Group Co. 475 Tenth Avenue New York, NY 10018 via e-mail: david.smail@morganshotelgroup.com RE: Offers regarding the acquisition for all or substantial part of Morgans Ladies and Gentlemen: We are writing again about the current Morgans board’s failure to engage in a meaningful sales…

Basswood Capital Wants Rep on Hudson’s BoD

[Basswood Capital owns 9.67% at an average cost of $16.89 per share] Purpose of Transaction.   The purpose of the acquisition of the shares by the Management Company for each of the Funds is for investment.   On October 2, 2013, representatives of the Management Company met with members of the Issuer’s senior management at…

Pine River Capital Files 13D on Go-Private Deal?

(Form 13D has boiler-plate language) The Reporting Persons acquired the Shares for investment purposes and in the ordinary course of business, pursuant to investment strategies, including merger arbitrage and event driven strategies, because the Reporting Persons believed that the Shares, when purchased, represented an attractive investment opportunity. On September 18, 2013, the Issuer entered into…