Sandell Urges Compuware To Engage With Elliott
In reaction to Compuware Corporation’s (NASDAQ: CPWR) lack of response to Elliot Management Corp.’s offer to purchase, Sandell Asset Management’s Chief Executive Officer Thomas E. Sandell sent today the following letter to Compuware’s CEO and Board of Directors:
Robert C. PaulChief Executive OfficerCompuware CorporationOne Campus MartiusDetroit, MI 48226-5099cc: Board of Directors
Dear Mr. Paul,
As we have previously indicated in our letters and in our white paper, we see significant value in Compuware, and have asked you and the Board of Directors to act with more urgency to unlock that value. Neither you nor your Board seem to have taken our communications seriously. Now you sit silent in the face of an offer from Elliott Management Corp. (“Elliott”) to purchase Compuware at $11.00 per share cash, which you received over a month ago. As we have stated, we believe that a prompt sale of the Company would be an effective path to value realization.
In yesterday’s disclosure by Elliott, we find that you and your Board have not only ignored our suggestions but also have been intentionally dragging your feet on engaging with Elliott. We believe you should immediately initiate a full auction process for Compuware. We continue to believe that there are numerous financial and strategic parties, in addition to Elliott, that would be interested in Compuware, and that a full auction process would be the most effective way to maximize value. And as part of that process, we believe that you should immediately engage with Elliott, making due diligence materials available to them, in order to elicit from them their highest and best offer. Your inaction is simply unacceptable, and indicates that you and your Board are more interested in keeping the status quo rather than taking prompt action to maximize value for shareholders. We believe that this lack of urgency will significantly bolster the case for change to the Board composition at the next annual meeting.Select the service that is right for you!
COMPARE ALL SERVICESAction Alerts PLUS
TRY IT FREEJim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
Product Features:
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Dividend Stock Advisor
TRY IT FREENew! $49.95/yr
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
Product Features:
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Stocks Under $10
TRY IT FREEDavid Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.
Product Features:
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts
- Weekly roundups
Real Money
TRY IT FREE24/7 market commentary from Jim Cramer and 20+ veteran Wall Street gurus. Get access to the latest trading ideas on stocks, options, and ETFs as well as a real-time forum to see the pros exchanging their investment ideas.
Product Features:
- Jim Cramer + 20 Wall Street pros
- Intraday commentary & news
- Real-time trading forum
- Actionable trade ideas
Real Money Pro
TRY IT FREEAll of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
Product Features:
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Options Profits
TRY IT FREEOur options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
Product Features:
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV
