Cement-maker Texas Industries has sent a letter to its shareholders telling them to disregard the advice of an investment fund that has an 8.9 percent stake in the company. The Shamrock Activist Value Fund first submitted a letter to Texas Industries’ general counsel in June saying it wanted to nominate three candidates for the company board. At the time, Shamrock claimed the Texas Industries leadership restricted shareholders from making changes due to the fact shareholders were prevented from calling meetings or taking action in company meetings without written consent, reported the Dallas Business Journal. In a letter, Texas Industries’ chairman Robert Rogers and CEO Mel Brekhus told shareholders that the company has reached out to the Shamrock Activist Value Fund, but eventually concluded the fund was not “constructively responsive.” “We can only conclude that Shamrock is agitating for change of control of the company, which we believe will not serve the purpose of creating additional value for all shareholders,” the company’ leadership wrote.
Texas Industries Tells Shareholders to Ignore Activist Shamrock
Texas Industries urges shareholders to ignore activist group Shamrock Activist Value Fund.
August 21, 2009