Hostile websites: 5 online campaigns to oust board members
Activist investors seek to replace existing members of boards of directors, and they’re taking their causes to the Web—and even Facebook.
The site is the latest move by Daniel Loeb, manager of hedge fund Third Point, in is proxy campaign against the company. And it shows what’s possible when an activist investor wants to take his or her message online.
Whether it’s a conflicts of interest on the board or poor financial performance, activist investors attempt to rally shareholders to vote out the existing board of directors, shoot down executive compensation proposals, or sack the executive team.
Historically, the campaigns waged by shareholder activists take place through letters to management and shareholders, as well as the judicious (or not) use of press releases and the creation of websites and Facebook pages.
What makes Loeb’s endeavor powerful is the effort that has gone into it. Is this an escalation in online tactics for rallying shareholders? Most campaign websites appear to have been slapped together with little effort or expense. A little commitment, though, can go a long way. Here we review five activist campaign sites:
1. Enhance ITEX
A group of activists led by David Polonitza, chief operating officer of AB Value Management, sought to unseat two of ITEX Corp’s directors last year. They set up Enhance ITEX to support their cause.
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