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
 Apr 26 2015 - Ministry recalls Ford, Lincoln vehiclesGulf Times
(MENAFN - Gulf Times) The Ministry of Economy and Commerce has announced a free recall campaign for Ford and Lincoln models - Taurus, Flex, Edge, MKT, MKX and MKS - due to a manufacturer's defect in ...

 Apr 26 2015 - Deputy PM returns from IndonesiaGulf Times
(MENAFN - Gulf Times) HE the Deputy Prime Minister and Minister of State for Cabinet Affairs Ahmed bin Abdullah bin Zaid al-Mahmoud returned to Doha yesterday evening from the Indonesian capital, ...

 Apr 26 2015 - Workshop on 'Yemen after the Storm'The Peninsula
(MENAFN - The Peninsula) Dr Khalid Al-Jaber, Editor-in-Chief at The Peninsula, and Azmi Bishara, an intellectual and academician, at a one-day academic workshop on 'Yemen After the Storm' organised ...

 Apr 25 2015 - Dubai's Damac Q1 net profit down 38 percentMENAFN
(MENAFN) Dubai's Damac Properties reported a 38 percent fall in first-quarter net profit, despite surging revenue, because of the effect of a big one-off gain a year ago, Emirates 24/7 reported.The ...

 Apr 25 2015 - Saudi Cable signs USD170.7m debt restructure dealMENAFN
(MENAFN) Saudi Cable Company said in a statement that it has signed a deal with three of its main lenders to restructure USD170.7 million of debt, Arab News reported.The debt will be restructured ...

 Apr 25 2015 - Saudi petrochemical firms combined profit down in Q1MENAFN
(MENAFN) Saudi Arabia's first-quarter corporate earnings were generally weaker than expected, a sign that foreign investors should be cautious as the stock market opens up to them this year, Arab ...

 Apr 25 2015 - EU migrant rescue ships head for LibyaThe Peninsula
(MENAFN - The Peninsula) British and German warships made ready to sail for waters off Libya as Europe ramped up rescue operations in the Mediterranean after up to 900 desperate migrants drowned last ...

 Apr 25 2015 - Qatar- Al Rayyan thrash Al Markhiya as Emir Cup kicks off in styleThe Peninsula
(MENAFN - The Peninsula) Football giants Al Rayyan yesterday celebrated their ascent to Qatar Stars League (QSL) by crushing Markhiya 5-0 in their opening Emir Cup clash.Al Rayyan were demoted to the ...

 Apr 25 2015 - Qatar- 'Desert King' Al Attiyah is unstoppable on home soilThe Peninsula
(MENAFN - The Peninsula) Qatar's Nasser Saleh Al Attiyah, Spain's Marc Coma and Poland's Rafal Sonik each confirmed their third victories at the Sealine Cross-Country Rally in four years in the car, ...

 Apr 25 2015 - Qatar- Al Attiyah wins Sealine RallyThe Peninsula
(MENAFN - The Peninsula) Dakar Rally champion Nasser Saleh Al Attiyah yesterday said healthy time lead on the first three days set up his title win at this week's Sealine Cross-Country Rally. The ...

more...


 






Google

Arab Advisors_12th convergence conf

 
 

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