Third point sends public letter to sothebys expressing concerns about leadership, shareholder misalignment, stra tegic direction, board governance, and expense growth. About sotheby s international realty affiliates llc. Third point currently owns roughly 40 million shares of nestle. In it, they touch on activist investing, their successful investment in sotheby s bid, an update on sony sne and argentine credit, and also outline their thesis on newer holding essilorluxottica. The third point hedge fund activist surprised the auctioneer by nominating three directors to run against the incumbents, even after the firm offered him one uncontested board seat and even acted on some of his gripes. Loeb calls for sothebys ceo to step down business insider. Contrary to what daniel loeb thinks about sothebys, there are few untapped markets for the auction houseand lots of competition where it. Daniel loebs third point second quarter investor letter.
Loeb told shareholders that a dysfunctional corporate culture had resulted in a company that is poorly managed and focused only on shortterm goals. Sothebys operates as an auctioneer of authenticated fine and decorative art, jewelry, and collectibles in the united states, the united kingdom, china, france, and internationally. Loeb backs management of auction house sothebys after. We are convinced that having an owners perspective in the. Loeb argued that he sees no evidence of ruprecht s.
Daniel seth loeb born december 18, 1961 is an american investor, hedge fund manager, and philanthropist. Loeb, who said last month that he wanted to join the companys board and called for william f. Why really rich men try to take over the art world. In his letter, loeb caustically crows that we see little evidence justifying your 2012.
Dan loebs top 10 most scathing letters vanity fair. Apr 15, 2014 in sum, the auction house said that loeb and his nominees lack experience to be on the board. Bid shareholders, calling on them to vote for the shareholder slate director nominees daniel s. Sothebys to mail letter to shareholders marketwatch. Sothebys asia week 2016 important chinese art auction features a collection of imperial ming and qing dynasty porcelain from the collection of elizabeth mead merck, highlighted by a magnificent yongzheng period yellowground buddhist emblems dish. Loeb, whose fund third point llc is the biggest investor in sothebys with a 9.
New york reuters blogs dan loeb is going to lose his latest fight, at sotheby s. For the second time in a month, auctioneer giant sothebys has attracted an activist shareholder filing, this time the big name dan loeb. Sothebys has already taken steps to appease loeb, who owns 9. Apr 29, 2014 loeb, the head of hedge fund third point capital management who has been building a stake in sothebys as he battles to win three seats on the companys board, last month sued the 270yearold. Today activist hedge fund manager dan loeb filed a letter with the sec calling for william ruprecht, the ceo of sotheby s, to step down. These letters are a great read for any aspiring investor because they lay out the thought process of the worlds most renowned investors. Third point dan loeb investor presentation sothebys. Dan loeb touts yahoo success in bid to remake sothebys board. Oct 02, 20 today activist hedge fund manager dan loeb filed a letter with the sec calling for william ruprecht, the ceo of sotheby s, to step down. Dan loeb calls for sotheby s ceo to step down in a scathing letter. The auction houses annual shareholder meeting today should be more pro forma than combative, now that sothebys has agreed to give board seats to dan loeb of third. May 05, 2014 sothebys agreed to appoint third point llc founder dan loeb and two of his candidates to its board of directors, ending a bitter proxy fight between the auction house and its largest shareholder.
Sothebys to go private in deal valuing auction house at. The reporting persons initially filed a schedule d in august after concluding that sothebys one of the worlds foremost luxury brands was languishing and lacked the resolve to change despite the obvious need to do so. Activist shareholder letters activist shareholder letters are letters written by activist investors and sent to the company, often demanding a certain change to maximize shareholder value. Dan loeb bids against himself at sothebys breakingviews. Loeb wants control, yes, but of a different kind, and is on a mission to appoint people who he believes will run the company how he believes it should be run. Jul 11, 2017 loeb has long turned his scathing pen against what he sees as excess and perfidy on the part of ceos. Dan loebs third point goes activist on sothebys wsj. Apr 04, 2014 accusing the board of lacking any skin in the game, mr. The head of activist hedge fund firm third point wrote a scathing letter to the chairman and chief executive of sotheby s wednesday, saying the art.
Chronology of events surrounding potential proxy contest. The company says it held meetings and conference calls with third point. Dan loebs third point issues open letter to sothebys. In sum, the auction house said that loeb and his nominees lack experience to be on the board. Loeb s october letter described, for instance, an embarrassing sixfigure corporate tab at blue hill, and sothebys culture could supply him with plenty of additional material. Activist investor dan loeb in frame is set to rake in the riches now that sotheby s, the auction house in which loeb owns a 14.
Its worth comparing loeb s letter to sothebys with his may letter to sony. Founded in 1976 to provide independent brokerages with a powerful marketing and referral program for luxury listings, the sotheby s international realty network was designed to connect the finest independent real estate companies to the most prestigious clientele in the world. Why sothebys and christies dont operate like other duopolies. Dan loeb s hedge fund firm third point is out with its third quarter letter. Apr 21, 2014 dan loeb continued his battle against sotheby s with a new letter promoting third point s board nominees over the art house s slate. Activist investor dan loeb tagets auction house sothebys watch out in another one of his nowfamous poison pen letters, activist investor dan loeb aims to shake up storied auction house. Bid and third point capital reached an agreement monday morning that will allow dan loeb and two other nominated individuals, olivier reza and harry wilson, to join the board of. Dow jones, a news corp company news corp is a network of leading companies in the worlds of diversified media. Third point llc 390 park avenue new york, ny 10022 tel 212 715 3880 june 25, 2017 dear investor. Dan loeb is waging war at sotheby s, calling for ceo william ruprecht to step down and arguing the company is losing out to rival christies in every front, from online strategy to international.
All bank letters must be written on bank letterhead. Dan loeb, ceo of third point hedge fund manager and activist investor dan loeb found himself victor in two yearlong campaigns against sothebys and dow chemical this week. Today activist hedge fund manager dan loeb filed a letter with the sec calling for william ruprecht, the ceo of sothebys, to step down. The head of activist hedge fund firm third point wrote a scathing letter to the chairman and chief executive of sotheby. Nov 21, 2014 and olivier reza, a jewelry executive and now sothebys director, on more than one occasion suggested that loeb consider taking sothebys private, donald parsons, a vice chancellor of. Activist investor dan loeb tagets auction house sothebys. Dan loeb seems to be bidding against himself at sothebys. Dan loeb is going to lose his latest fight, at sotheby s nyse. Sothebys takeover with dan loeb, tad smith artnet news.
Third point released this letter to its fellow sothebys the company shareholders, calling on them to vote for shareholder slate director nominees daniel s. Dan loeb s third point issues open letter to sotheby s bid shareholders. A few months back, loeb bought some shares in a company that he knows very well, auction house sotheby s, where he sold a large egg not too long ago. Running parkebernet in new york in the 1960s after a merger with sothebys, mr. Reutersphil mccarten today activist hedge fund manager dan loeb filed a letter with the sec calling for william ruprecht, the ceo of sotheby s, to step down. Dan loeb s poison pen is as toxic as ever the head of activist hedge fund firm third point wrote a scathing letter to the chairman and chief executive of sotheby s wednesday, saying the art. Oct 02, 20 wednesday, dan loeb took out his poison pen and drew an ugly picture for sothebys. Apr 15, 2014 third point dan loeb investor presentation sothebys home. Oct 04, 20 dan loeb is going to lose his latest fight, at sothebys. Dan loeb, sothebys reach agreement after bitter board battle. Wilson, and olivier reza instead of the companys nominees jessica bibliowicz, robert taubman, and daniel meyer the.
Daniel loeb, master of the universe makes a comeback. Why daniel loeb is targeting sothebys new york magazine. Pollen injected fun into the proceedings while expanding. Mar 19, 2015 contrary to what daniel loeb thinks about sothebys, there are few untapped markets for the auction houseand lots of competition where it wants to go. Cohans december 20 profile of billionaire hedgefund manager dan loeb, one colleague described loeb s public filings as the most obnoxious letters on the planet.
Highlights from third points 2020 q1 investor letter third point is a hedge fund founded by daniel loeb in 1995. Nov 23, 20 sothebys has been under attack by the activist investor and hedge fund manager daniel s. Oct 02, 20 dan loeb s poison pen is as toxic as ever. Dan loeb responds to sothebys powerpoint marketwatch. If an alternative bank letter is provided, please note that rm sothebys will contact your bank approximately two to three days prior to the date of the auction to confirm the letter. Wednesday, dan loeb took out his poison pen and drew an ugly picture for sothebys. Important chinese art view auction details, bid, buy and collect the various artworks at sothebys art auction house. Dan loeb calls for sothebys ceo to step down in a scathing. Nov 24, 2016 another of loebs suggestions was that sothebys should be competing on service quality and expertise as much as it does on price. The fund delivered negative returns of about 16% in the first quarter.
Feb 27, 2014 sotheby s decided to pony up more cash to shareholders last month in an effort to keep activist investors at bay, but dan loeb, leading that fight, clearly thinks the plan is a few strokes shy of. Dan loeb only has two problems with sothebys dealbreaker. Principal auctioneer of sothebys is leaving post the new. Activist dan loeb bought more sothebys, just sent this letter to their ceo published on october 2, 20 at 10. Loebs october letter described, for instance, an embarrassing sixfigure corporate tab at blue hill, and sothebys culture could supply him with plenty of additional material. Dan loeb triumphs against sothebys, dow chemical chief. Sothebys ends fight with third point as loeb joins board. Loeb, whose fund third point llc is the biggest investor in sotheby s with a 9. Third point management is a new york based hedge fund founded by daniel s. Third point dan loeb investor presentation sothebys, stocks. We are convinced that having an owner s perspective in the. Loeb, sothebys case may reshape shareholder activism, new york post april 29, 2014 sothebys and its largest investor, daniel loeb, will open their arguments in court on tuesday on whether the auction house should be allowed to restrict the billionaires ownership stake, in a case that could reshape the world of shareholder activism. Billionaire dan loeb blasts sothebys ceo for spending. As of december 2016, it has returned an average of 15.
Feb 28, 2014 sothebys was doing at least some of what loeb had demanded. The companys board of directors currently comprises one class of directors who are elected annually at each years annual meeting of the companys stockholders and serve until the next annual meeting following their election or until their successors have been elected and qualified. The auction house is under attack by hedgefund activist daniel loeb, who wants it to start making lots more money, in part by refusing to kowtow to rich folks like him. Dan loeb is going to lose his latest fight, at sothebys. Aug 26, 20 for the second time in a month, auctioneer giant sothebys has attracted an activist shareholder filing, this time the big name dan loeb. Jun 11, 2014 daniel loeb signed onto a letter by the auction houses directors backing sothebys management team, including the chief executive, who at one point was the target of mr.
May 05, 2014 sothebys and loebs third point reached an agreement monday that will give the 52yearold investor three seats on an expanded sothebys board. Dan loeb to nominate three directors to sothebys board. Dan loebs third point issues open letter to sothebys bid. Loeb of third point llc third point sends a letter to sothebys sothebys offering to join sothebys board of directors the board and. Hedge funders like dan loeb use the art market to buy social status, but loeb wants to be the king of the vulgar at sotheby s mon 7 oct 20 12. Mar 23, 2015 with these two appointments, sothebys has returned to pure corporate control and, as an aside, it should be noted, the use of pure corporate language like multiple revenue streams, costcutting.
Sotheby s and daniel loeb are no longer at war, but the auction house and the activist are still picking their way past the fighting words. Aug 26, 20 shares in sothebys spiked as news of loebs stake hit the wire, but gave up some of those gains toward the end of the trading session. And olivier reza, a jewelry executive and now sothebys director, on more than one occasion suggested that loeb consider taking sothebys private, donald parsons, a. Dan loeb pens his dan loebiest letter yet dealbreaker. Ahead of the companys annual meeting on may 6, he would like to remind shareholders what those two problems are. Loeb, sothebys case may reshape shareholder activism.
The auction house announced on thursday that chairman, president, and ceo william ruprecht will step down by mutual agreement with the board. Third point released this letter to its fellow sothebys nyse. Loeb steps up pressure on sothebys board the new york times. Dan loeb continued his battle against sotheby s with a new letter promoting third points board nominees over the art houses slate. Funds managed by third point llc third point recently received hartscottrodino approval to increase our stake in sothebys the company and now hold 9. Daniel loeb s third point second quarter investor letter, stocks. Hedge fund billionaire dan loeb slams nestles muddled strategy. Activist dan loeb bought more sothebys, just sent this.
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