Data and analytics firm CoreLogic disclosed that its board is conducting a strategic review of its operations, with a goal of “maximizing shareholder value.”
That’s a nebulous term that can end up meaning a variety of things, including a potential sale of the company, the company said in its Nov. 3 release.
CoreLogic’s customers include insurance carriers, financial institutions and government agencies. It has been confronted with an uncertain future since June, when it disclosed it had received an unsolicited bid from Cannae Holdings and Senator Investment Group – an investment firm and hedge fund, respectively – for around $66 per share in cash to take the company private. Both firms owned an initial 15 percent stake in the company, though that number has gone down to less than 10 percent, according to previous reports.
Since then, CoreLogic’s board unanimously rejected the bid, calling it undervalued, though it subsequently met with Cannae and Senator representatives, where they requested due diligence before any revised bid.
The investors also said they’d solicit support from fellow shareholders to replace nine directors and submitted proposed alternatives. CoreLogic criticized Senator/Cannae’s nominees to fill the nine slots, arguing that the “hand-picked nominees lack the breadth and depth of experience” the company’s current board members have. CoreLogic is urging shareholders to vote against all of the Senator/Cannae proposals and nominees.
“The CoreLogic Board is in the best position to evaluate strategic alternatives,” the company said in its release. “The Board is composed of 12 highly qualified industry leaders with deep expertise that is aligned with CoreLogic’s business — including in real estate and technology, finance and M&A, private equity and investing, and experience as CEO, CFO or COO of a public company. Of our 12 directors, 11 are independent, including four new independent directors who have been recently added.”
CoreLogic’s release also reiterated its commitment to working in the best interests of shareholders, as well as to review strategic alternatives. It also stressed that there are many other interested parties willing to pay far more than “Senator/Cannae’s lowball $66 per share proposal.”