Starboard Value takes a stake in Ritchie Bros. How amicable activism may come into play
Publishing timestamp: 2023-02-04 08:58:13
Summary
Ritchie Bros. Auctioneers, a Canada-based asset management and disposition company, caught the attention of successful activist investor Starboard Value when they announced a merger agreement with IAA in November 2022. Starboard has made a strategic investment of $485 million in convertible preferred equity and $15 million of common shares in Ritchie, which will help alleviate many Ritchie shareholders and appease many IAA shareholders. Starboard is supporting the management to complete the strategic transaction and Jeff Smith will have a board seat on the combined company.
Sentiment: POSITIVE
Keywords: ritchie bros auctioneers inc, hedge funds, business news, s&p 500 index, investment strategy,