RBR Capital: GAM - GLASS LEWIS RECOMMENDS VOTING FOR CHANGE AT UPCOMING AGM Dienstag, 18. April 2017 - 08:15
The AGM for GAM Holding will be held shortly. As you probably know, RBR Capital has nominated three individuals to serve on the Board of GAM. We have also nominated one of those directors to be the new Chairman of GAM.
We believe there are serious performance and strategy issues at GAM. We have issued a presentation regarding our views, which can be found here: www.freegam.ch
We believe significant changes to the Board, governance, strategy and to the operating plan are needed to improve performance. GAM spends too much and fails to attract assets. Its executive compensation is excessive and the last two recent acquisitions have been value destructive for shareholders. We encourage you to read our presentations and listen to our call on the topic, which are available on our website.
ISS and Glass Lewis are supporting two of our candidates. These independent advisory firms undertook a thorough evaluation of GAM’s performance and of our board candidates. Both firms concluded that change was required at GAM and that our nominees would bring fresh perspective to the Board.
ISS noted that we “made a compelling case that change at the board level is warranted” because, among other reasons, new directors are required to “provide the necessary additional oversight at the board level.” Glass Lewis noted that “management’s multi-year efforts have left the Company well off the industry pace,” with “misaligned costs, flat AuM and, ultimately, markedly negative investor returns.” It concluded that “circumstances warrant fresh oversight” at GAM.
We agree.
We encourage you to vote your shares in favor of RBR’s nominees, Kasia Robinski, William Raynar and Rudolf Bohli and to select Kasia Robinski to serve as Chairman.
We are ready an available to answer any questions you may have or describe more fully our views on GAM - please just contact us.
Yours faithfully,
Rudolf Bohli
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Rudolf Bohli | ||
CIO | ||
Direct: | +41 58 705 00 02 | |
Mobile: | +41 78 654 67 10 | |
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Obere Wiltisgasse 52 | ||
8700 Küsnacht / Switzerland | ||
Phone: | +41 58 705 00 00 | |
Fax: | +41 58 705 00 01 | |
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