Macellum Advisors GP and Ancora Holdings Group, which own approximately 4.5 percent of the outstanding common shares of SpartanNash, issued a rebuttal presentation May 18 to the company’s May 16 presentation that highlights the board of directors’ attempts to “mislead” shareholders about its poor capital allocation decisions, corporate governance policies, financial and operating results and succession planning.
As a reminder, the Investor Group has nominated three qualified and independent candidates for election to SpartanNash’s Board of Directors at the 2022 Annual Meeting of Shareholders.
Jonathan Duskin, managing partner of Macellum, and Fredrick D. DiSanto, chairman and CEO of Ancora, commented that, “This contest at SpartanNash is about the need to replace three extremely long-tenured directors who have collectively presided over years of abysmal capital allocation, dismal shareholder returns, poor governance, questionable succession planning and weak strategic oversight.”
The two partners continued that, “We believe SpartanNash’s latest apparent attempt to mislead shareholders and rewrite history about the incumbent board’s destruction of value and blatant lack of succession planning validates our case for urgent change. We believe there are serious risks associated with maintaining the status quo at SpartanNash, including allowing the company’s long-tenured directors – who have already failed to create meaningful value for shareholders – to continue to oversee management as it executes a reactionary and suspect operating plan.”
The investor groups stated in their presentation that the board’s reactive self-refresh failed to add relevant grocery and food distribution expertise or a shareholder’s perspective. The investor groups believe that if Douglas Hacker, William Voss or Margaret Shan Atkins continue serving as chair of the board, chair of the nominating and governance committee and chair of the audit committee, the company will continue to underperform.
The investor group claims that its nominees bring a shareholder perspective, operational know-how, relevant grocery and food distribution expertise and successful track records. “We strongly believe that all three nominees collectively possess the right skills, experience and perspectives to help drive long-term value at SpartanNash.”
To view the full rebuttal presentation from the Investor Groups, click here.
To read SpartanNash’s comments on the Investor Groups first presentation presented by The Shelby Report, click here.