Proxy contest

Related to Proxy contest: tender offer, proxy fight, greenmail, Staggered Board

Proxy contest

A battle for the control of a firm in which a dissident group seeks, from the firm's other shareholders, the right to vote those shareholders' shares in favor of the dissident group's slate of directors. Also called proxy fights.

Proxy Fight

A situation in which two investors (usually two companies) compete with one another in the attempt to gain the proxy votes of shareholders in a third company. The two investors engage in the proxy fight because both wish to have enough proxy to elect a new board of directors that will effectively do whatever the investor wants. The winner of a proxy fight, if any, is able to control the third company through the board of directors and does not need to directly acquire it, though many often do anyway.

Mentioned in ?

Schedule 14B

References in periodicals archive ?

Corresponding to the first, the second and the fourth rule amendments, as expected, the occurrence rate as measured by the number of listed companies with proxy contests divided by the number of listed companies--lowered respectively from 0.

Proxy rule, pecuniary value, and proxy solicitation: evidence from TSE-listed firms (1984-2002)

Commenter's request fails to demonstrate why its written comments do not adequately present its evidence, allegations and views, and, assuming the facts are as Commenter asserts, no material issue is raised by the comments concerning First Mariner's participation in the recent proxy contest for the reasons stated above.

ORDERS ISSUED UNDER BANK HOLDING COMPANY ACT

Duvall and Austin (1965) suggest that poor firm performance can be a motivating factor in the decision to undertake a proxy contest.

Determinants of the choice of the hostile takeover mechanism: an empirical analysis of tender offers and proxy contests

The pioneering work of Duvall and Austin (1965), who studied 40 firms which had a proxy contest between 1956-1960, concluded that proxy "contests usually are begun in firms which have relatively low rates of return.

Corporate transformations: the new role of proxy contests

T = the number of days in the proxy contest counting from the announcement day, day zero, to the annual meeting day,

The call option implicit in proxy contested firms

Second, the clear vote of no confidence might incite external forces to attempt a takeover or proxy contest.

Just vote "no." (Technicallly speaking)

i) Roughly 72% of the sample firms in our study are under a different management team three years after their involvement in a proxy contest.

The efficient monitoring role of proxy contests: an empirical analysis of post-contest control changes and firm performance

We are looking forward to directing our energy toward increasing shareholder value as opposed to fighting this wasteful proxy contest.