IAA - IAA STOCK NEWS

IAA, Inc. has achieved certification from Great Place to Work for the fifth consecutive year, with 75% of employees affirming it as a great workplace, surpassing the U.S. average by 18%. This recognition underscores IAA's commitment to employee experience and leadership.

Additionally, IAA has been named in Forbes list of America’s Best Midsize Employers 2023. The company emphasizes its 'People First' culture, which is expected to enhance employee retention and overall job satisfaction, aligning with the strategic growth plans and partnerships as they navigate potential merger developments.

Luxor Capital Group, managing 4.7 million shares (4.2% of RBA), criticized Ritchie Bros. for its $485 million financing deal with Starboard Value LP, suggesting it benefits Starboard at shareholders' expense. Following a recent debt raise, RBA attracted over $9 billion in demand, pricing an $800 million unsecured bond at 375 basis points, far lower than the terms of the Starboard deal which would need to offer over 1,500 basis points to match par value. Luxor argues that this highlights the questionable rationale behind the financing, calling for RBA shareholders to vote NO on the proposed IAA merger.

Discerene Group LP, holding approximately 3.6% of IAA's shares, expresses opposition to the proposed sale of IAA to Ritchie Bros. Auctioneers (RBA). They believe the sale undervalues IAA and threatens shareholder investments. Highlighting IAA's growth, they note that its revenue has outpaced RBA's since 2019, and it maintains a healthy EBITDA margin with low debt. Discerene advocates for a long-term strategy focused on sustainable growth and urges IAA's board to resist short-term market pressures. They are committed to helping IAA realize its potential as an independent company.

Ritchie Bros. Auctioneers (NYSE: RBA) urges shareholders to vote "FOR" all proposals on the WHITE proxy card in connection with the upcoming Special Meeting on March 14, 2023, regarding the acquisition of IAA, Inc. (NYSE: IAA). The company's Board emphasizes that this acquisition will enhance growth strategies and create substantial shareholder value. After extensive due diligence over the past year, the Board concluded that combining with IAA offers significant benefits, including cost synergies and revenue opportunities. Ritchie Bros. is prepared for integration and aims to exceed standalone capabilities. Shareholders are advised to discard the green proxy card and support this strategic direction.

Ancora Holdings Group has issued a rebuttal against Luxor Capital Group, claiming that Luxor is conducting a "short and distort" campaign regarding the proposed combination of IAA, Inc. (NYSE: IAA) and Ritchie Bros. Auctioneers (NYSE: RBA). Ancora, which owns approximately 4% of IAA and 0.5% of RBA, emphasizes its support for the transaction, citing an amended proxy statement that discloses a Trade Incentive Agreement with a known short seller since December 2022. Ancora outlines five key reasons for voting in favor of the transaction, positioning it as transformative and value-adding for shareholders.

Ritchie Bros. Auctioneers has shared a letter ahead of its Special Meeting scheduled for March 14, 2023, where shareholders will vote on the proposed acquisition of IAA, Inc. The Board emphasizes that the transaction could increase share value by up to $76, significantly exceeding Ritchie Bros.' current stock price of $61.44 as of February 21, 2023. The company argues against Luxor Capital's objections, labeling them as misleading. The amended agreement not only enhances transaction terms by adding $115 million in value but also retains a 59.1% pro forma ownership for shareholders. Ritchie Bros. expects substantial EBITDA growth and cost savings from the IAA acquisition, stimulating further shareholder value.

Ritchie Bros. Auctioneers (NYSE: RBA) urges shareholders to vote in favor of its acquisition of IAA, Inc. (NYSE: IAA) at the upcoming Special Meeting on March 14, 2023. The deal could unlock up to $76 in incremental value per share, including $100 to $120 million in cost savings and $250 to $780 million in EBITDA growth opportunities. CEO Ann Fandozzi emphasizes the complementary nature of IAA's assets and the potential for significant financial benefits. Ritchie Bros. also counters criticisms from Luxor Capital Group, asserting that their analysis is flawed. Shareholders of record as of January 25, 2023, are eligible to vote.

IAA, Inc. (NYSE: IAA) reported a 14.2% revenue growth for fiscal 2022, reaching $2.1 billion. The fourth-quarter revenue declined by 4.5% to $523.5 million, while net income increased by 6.3% to $77.9 million, or $0.58 per diluted share. Adjusted EBITDA for the quarter rose slightly by 0.6% to $141.3 million. Despite challenges such as foreign currency impacts and a decrease in vehicle sales volume, revenue per unit improved by 3.9%. The company emphasizes confidence in its future, particularly with the upcoming merger with Ritchie Bros., which is expected to enhance its market position.

Eminence Capital, a significant shareholder of Ritchie Bros Auctioneers (RBA), publicly announced its intention to vote against RBA's proposed $7.3 billion merger with IAA, Inc. Eminence highlights concerns over the transaction's strategic value, citing risks that outweigh potential benefits. They argue the merger lacks a strong logic due to limited synergies and significant differences between the companies. Additionally, they express skepticism about the deal’s ability to improve IAA’s competitive position and foresee a burden of risk for RBA shareholders. Since the announcement, RBA shares have underperformed the market by 8%, indicating investor apprehension.