Nabi Holds Meeting

Hedge funds fail to prevent a quorum.
Publish date:

Dissident shareholders failed Friday in their effort to prevent

Nabi Biopharmaceuticals


from holding its annual meeting.

Two hedge fund firms

said recently that they wouldn't vote their shares in protest of the Boca Raton, Fla., company's strategy. If half the shares refused to vote, Nabi would have lacked a quorum.

But Nabi said Friday that 74% of outstanding shares were voted in person or by proxy. Each of eight directors up for election received at least 87% of the shares that were voted.

Nabi's critics include Harvest Management, which owns 9.4%, and Knott Partners, which owns 9.6%. These firms invest in Nabi through several investment vehicles, but they couldn't withhold all votes because they bought some shares after the March 24 cutoff date for voting at the annual meeting.

Hedge fund manager Daniel S. Loeb, who controls 13.7% through two investment vehicles,

also has criticized Nabi. Before the meeting was held, he didn't say if he would withhold his votes.

In late-afternoon trading, Nabi's stock was off 22 cents, or 3.4%, to $6.27.