Jana Says Titan International Price Too Low

Jana Partners, the activist hedge fund, is calling on Titan International(TWI Quote) to seek a higher price from an interested buyer.

One Equity Partners, a private equity affiliate of J.P. Morgan Chase & Co., offered to acquire Titan in October for $18 a share in cash. That's not enough, Jana said in a letter to Titan.

The current bid "significantly undervalues the company," Jana said. Titan should get a higher one or prove that the offer represents the "highest and best price obtainable for shareholders via a full and open process," Titan said.

The company's CEO was unmoved by the letter.

"Titan's shares rose from 65 cents on February 2003 to $18 now. It's a 3,000% increase! Jesus, give me a break, folks!" Maurice Taylor, Titan's CEO and chairman, told TheStreet.com. Jana "thinks we have an undervalued company compared to these idiot dot-coms. But this is not a dot-com. This is a bigtime manufacturing plant." he said.

A call to Jana's managing partner, Barry Rosenstein, was not returned.

Titan closed at $17.02 Monday, down 16 cents. It traded at $13.28 the day before the One Equity bid was received.