Bwin.party strikes compromise agreement with Ader
President of Ader Investment Management Daniel Silvers joins bwin.party board as activist investor pledges to work with firm to "realise potential"
Bwin.party’s verbal wranglings with activist investor Jason Ader appear to have come to an end as the two parties struck an agreement to work together on appointing the operator’s new directors.
The deal sees one of Ader’s board nominations, Daniel Silvers, take a place on bwin.party’s board and as a result his SpringOwl investment firm has withdrawn its four resolutions that were scheduled to be put to shareholders at today’s AGM.
Ader made the directorial nominations after he acquired a 5.25% stake earlier this year and has been critical of bwin.party’s board, claiming poor strategic decision making has caused the firm’s share price to fall in recent years.
Last week bwin.party announced it is seeking to overhaul a third of its board with the addition of three new directors and the departure of the same number including co-founder Manfred Bodner.
In an unexpected move, the two parties said today they will “work closely” to make the appointments, and bwin.party confirmed it would consider one of SpringOwl’s nominees Michael Fertik as a potential candidate.
Silvers, president of Ader Investment Management, will take up his position on the Board “as soon as practicable”, bwin.party said in a statement.
“I am pleased to be able to demonstrate common ground with SpringOwl and welcome its support,” said bwin.party’s Chairman elect Philip Yea.
“There remains much work ahead and, together with the rest of the Board, I look forward to working closely with SpringOwl as a significant shareholder in bwin.party and welcome Dan Silvers to the Board as SpringOwl’s appointed nominee.”
Ader said he welcomed the planned changes to the composition of the board announced last week.
“[We] are looking forward to working with Philip Yea and the Board over the coming period to ensure that this potential is both realised and translated into long-term value for shareholders,” he said.