Third Point is disappointed that Sotheby’s (NYSE:BID) Board of
Directors has trotted out the poison pill – a relic from the 1980’s – as
its disproportionate response to the valid concerns expressed in our
October 2nd letter. Rather than address our well-documented
citations of mismanagement and initiate a constructive dialogue with its
largest shareholder, the Board and the CEO have attempted to further
entrench themselves.
Third Point’s involvement does not pose a threat to either the Company
or our fellow shareholders, all of whom will benefit from our
considerable efforts. It is clear that today, the Chief Executive
Officer and his hand-picked directors have put their job security ahead
of shareholders.
Given their personal interests and miniscule shareholdings of Sotheby's,
the Board’s actions – disenfranchising its owners who may wish to
acquire a more significant stake – come as no surprise. We hope this
will be the Ruprecht Board’s final snub to its shareholders. It would be
unfortunate if they instead refuse to undertake a fresh start until one
is imposed upon them during proxy season.
About Third Point LLC: Third Point LLC is an SEC-registered
investment adviser headquartered in New York. Third Point is Sotheby’s
largest shareholder with a 9.3% stake in the Company’s outstanding
shares. Founded in 1995, Third Point follows an event-driven approach to
investing globally. Third Point manages assets for Third Point
Reinsurance Limited (NYSE:TPRE) and Third Point Offshore Investors
Limited (LSE:TPOU LN), as well as its private funds.
Copyright Business Wire 2013