GuruFocus Premium Membership

Serving Intelligent Investors Since 2004

Try It 100% FREE for 7 Days!

Free 7-day Trial
All Articles and Columns »

Jana Partners Barry Rosenstein Believes Agrium's Board "Played Dirty" in Its Proxy Fight

April 22, 2013 | About:
Canadian Value

Canadian Value

Jana Partners has just concluded its first proxy fight (which it lost) which was with Canadian company Agrium (AGU). In the 49 prior situations where Jana took an activist position they were able to reach an agreement with the board of directors in place.

Not this time. And Rosenstein believes the Agrium board of directors played dirty.

He believes that the Agrium board of directors was more interested in who gets credit for ideas rather than what the best ideas actually are. The Agrium Board took a win at all cost approach and certainly took actions that were questionable at best.

Rosenstein did not want to take such an aggressive approach to Agrium, but the board of directors forced his hand.

Jana Partners newest position is in Ashland (ASH) where he expects management to be much more constructive and will do the right thing. Rosenstein believes the right thing being to split the businesses inside of Ashland so that they can attract more appropriate valuation multiples.

About the author:

Canadian Value

Rating: 2.0/5 (3 votes)


Please leave your comment:

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial