Toy Maker Hasbro Defeats Activist in Proxy Fight
Hasbro Inc.
HAS -0.55%
fended off a board challenge from an activist who wanted the toy maker to explore spinning off one of its units and making other changes.
Hasbro said Wednesday that its shareholders voted for its 13 directors by a wide margin, according to preliminary vote tallies. The activist, Texas-based Alta Fox Capital Management LLC, initially nominated five directors to Hasbro’s board and later cut its slate to one nominee.
Alta Fox said while it was disappointed by the outcome, it believes that Hasbro’s shareholders benefited from the campaign. The fund owns a roughly 2.5% stake and had support from another activist, Ancora Holdings Inc.
Hasbro shares were little changed in Wednesday trading.
Pawtucket, R.I.-based Hasbro, which has a market value of around $12 billion, owns such brands as Nerf and Monopoly. It also holds the rights for toys based on the popular children’s show “Peppa Pig.”
A fast-growing part of Hasbro’s business has been the Wizards of the Coast and Digital Gaming unit, which includes the cult-favorite role-playing game Dungeons & Dragons and the card game Magic: The Gathering. Alta Fox had urged Hasbro to consider spinning the unit off, something that the company rejected.
A handful of recent high-profile activist fights were won by companies this year.
Kohl’s Corp.
investors rejected an activist’s push to overhaul its board, though the company is now exploring a sale.
McDonald’s Corp.
defeated
Carl Icahn,
who ran an unusual fight focused on animal rights at the fast-food chain’s suppliers.
Most activist challenges still result in negotiated settlements that allow the two sides to bypass a contested vote.
Write to Cara Lombardo at [email protected]
Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
Hasbro Inc.
HAS -0.55%
fended off a board challenge from an activist who wanted the toy maker to explore spinning off one of its units and making other changes.
Hasbro said Wednesday that its shareholders voted for its 13 directors by a wide margin, according to preliminary vote tallies. The activist, Texas-based Alta Fox Capital Management LLC, initially nominated five directors to Hasbro’s board and later cut its slate to one nominee.
Alta Fox said while it was disappointed by the outcome, it believes that Hasbro’s shareholders benefited from the campaign. The fund owns a roughly 2.5% stake and had support from another activist, Ancora Holdings Inc.
Hasbro shares were little changed in Wednesday trading.
Pawtucket, R.I.-based Hasbro, which has a market value of around $12 billion, owns such brands as Nerf and Monopoly. It also holds the rights for toys based on the popular children’s show “Peppa Pig.”
A fast-growing part of Hasbro’s business has been the Wizards of the Coast and Digital Gaming unit, which includes the cult-favorite role-playing game Dungeons & Dragons and the card game Magic: The Gathering. Alta Fox had urged Hasbro to consider spinning the unit off, something that the company rejected.
A handful of recent high-profile activist fights were won by companies this year.
Kohl’s Corp.
investors rejected an activist’s push to overhaul its board, though the company is now exploring a sale.
McDonald’s Corp.
defeated
Carl Icahn,
who ran an unusual fight focused on animal rights at the fast-food chain’s suppliers.
Most activist challenges still result in negotiated settlements that allow the two sides to bypass a contested vote.
Write to Cara Lombardo at [email protected]
Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8