Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Pressed by hedge funds, Sotheby’s sets $450 mn payout  Join our daily free Newsletter

MENAFN - Arab News - 08/02/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN -Arab News) NEW YORK: Venerable art auctioneer Sotheby’s bowed to pressure from activist shareholders Wednesday, announcing a 300 million special dividend, a restructuring of operations and possible property sales.Three months after its management and strategy came under assault by hedge fund Third Point’s founder Dan Loeb and other activists, Sotheby’s said it will also spend 150 million on a share buyback program beginning this year.And it pledged to return excess capital to shareholders each year,“primarily through a special dividend.”“The message we are delivering is clear — we are returning meaningful capital to our shareholders now and in the future and establishing a framework that puts Sotheby’s in the strongest position to compete and win in this marketplace while delivering value to our clients,” said chief executive Bill Ruprecht.In October Loeb, holding 9.3 percent of the 270 year old auction house, singled out Ruprecht for strong criticism, saying the company was falling behind rival Christie’s.He also accused the cozy management of profligate spending.“Sotheby’s is like an old master painting in desperate need of restoration,” Loeb said, calling for Ruprecht’s removal.Sotheby’s responded with a poison pill move that would have hurt Loeb if he tried to gain further power over the company.But the company on Wednesday appeared to meet some of the demands for better focus on stockholder returns from Loeb and others.They also include a review of Sotheby’s headquarters on the east side of Manhattan and its Bond Street, London property with an eye toward selling all or parts of the buildings.The company will split its business into two separately operated divisions, one for its art auctions and private sales, and the other for financial services, which lends money against art as collateral.The new structure will optimize funding and see clear goals for returns from each business.Unde the new structure it estimates it will cut 22 million in professional fees and administrative costs. No job cuts are planned.Sotheby’s is also interested in upping investment on promising or new ventures, such as private sales, emerging markets and its digital platform.Sotheby’s shares rose 0.5 percent to 49.16 in early trade.


 


Arab News




  MENA News Headlines
 Dec 21 2014 - UAE's Hakkasan acquires USD36m The Light GroupMENAFN
(MENAFN) Hakkasan Group, the hospitality and entertainment company owned by Abu Dhabi-based Tasameem Real Estate, announced it has acquired The Light Group from Morgans Hotel Group (MHG), Arabian ...

 Dec 21 2014 - UAE's Hakkasan acquires USD36m The Light GroupMENAFN
(MENAFN) Hakkasan Group, the hospitality and entertainment company owned by Abu Dhabi-based Tasameem Real Estate, announced it has acquired The Light Group from Morgans Hotel Group (MHG), Arabian ...

 Dec 21 2014 - Omani OPWP awards Singaporean firm USD250m water projectMENAFN
(MENAFN) Oman's state-owned Oman Power and Water Procurement Company (OPWP) announced it has awarded a consortium led by the Singaporean Hyflux Ltd and National Power and Water Co a USD250 million ...

 Dec 21 2014 - Oman's SGRF boosts acquisition of local assetsMENAFN
(MENAFN) Oman's State General Reserve Fund (SGRF) announced it has boosted its buying of assets in the local market, particularly shares, due to the massive drop in the prices as the result of the ...

 Dec 21 2014 - Oman's Napco revenue hits USD34.95m in 9MMENAFN
(MENAFN) Oman's National Aluminum Products Company (Napco) announced it has registered a net profit of over OMR USD1.25 million as well as revenues totaling to USD34.95 million during the ...

 Dec 21 2014 - Dubai's Nakheel to restart USD550m Vietnam projectMENAFN
(MENAFN) Nakheel, the Dubai property developer, announced that it will propose a plan to restart a delayed project in Vietnam's northern province of Quang Ninh, which has an estimated value of USD550 ...

 Dec 21 2014 - Etihad Cargo records tonnage high in NovemberMENAFN
(MENAFN) Etihad Cargo, the freight division of UAE flag carrier Etihad Airways, announced it has carried 53.292 tons of cargo in November across its global network, thus achieving an all-time record ...

 Dec 21 2014 - Cold weather forecastJordan News Agency
(MENAFN - Jordan News Agency) The weather is expected to be relatively cold in most parts of the Kingdom and fair in the Jordan valley and Aqaba.Clouds will build up during the evening increasing ...

 Dec 21 2014 - Israeli warplanes bomb southern Gaza StripJordan News Agency
(MENAFN - Jordan News Agency)  Israeli warplanes bombed dawn Saturday, east of Khan Younis in the southern of Gaza Strip.This attack is the first since the end of the Israeli aggression on the Gaza ...

 Dec 21 2014 - Egypt to reopen Rafah crossing: OfficialJordan News Agency
(MENAFN - Jordan News Agency)   Egypt will reopen the Rafah border crossing point with the Gaza Strip during the next two days for traffic heading in both directions.The head of the Palestinian ...

more...


 






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help