Facts Don't Lie: Barington Capital Sends Letter to Matthews International Shareholders Debunking the Company's False Narratives and Reinforcing its Case for Change
Barington Capital, owning 1.9% of Matthews International (NASDAQ: MATW), has sent a letter to shareholders criticizing the company's recent 68-page investor presentation and management's approach. The activist investor highlights what it describes as Matthews' 'longstanding culture of deceit' and argues that the status quo is unsustainable.
Barington claims Matthews has failed over the past 18 years to take meaningful action in simplifying its portfolio, conducting strategic reviews, reducing costs and debt, or addressing Board independence. The investor group is pushing for the election of Ana Amicarella, Chan Galbato and James Mitarotonda to Matthews' Board of Directors, arguing these changes are important for unlocking the company's full value potential.
Barington Capital, che detiene l'1,9% di Matthews International (NASDAQ: MATW), ha inviato una lettera agli azionisti criticando la recente presentazione per investitori di 68 pagine dell'azienda e l'approccio della dirigenza. L'investitore attivista evidenzia quello che descrive come la 'lunga cultura di inganno' di Matthews e sostiene che lo stato attuale è insostenibile.
Barington afferma che Matthews non è riuscita negli ultimi 18 anni a intraprendere azioni significative per semplificare il proprio portafoglio, condurre revisioni strategiche, ridurre costi e debiti, o affrontare l'indipendenza del Consiglio. Il gruppo di investitori sta spingendo per l'elezione di Ana Amicarella, Chan Galbato e James Mitarotonda nel Consiglio di Amministrazione di Matthews, sostenendo che questi cambiamenti siano fondamentali per sbloccare il pieno potenziale di valore dell'azienda.
Barington Capital, que posee el 1,9% de Matthews International (NASDAQ: MATW), ha enviado una carta a los accionistas criticando la reciente presentación para inversores de 68 páginas de la empresa y el enfoque de la dirección. El inversor activista destaca lo que describe como la 'larga cultura de engaño' de Matthews y argumenta que el statu quo es insostenible.
Barington afirma que Matthews ha fracasado en los últimos 18 años en tomar acciones significativas para simplificar su cartera, realizar revisiones estratégicas, reducir costos y deudas, o abordar la independencia del Consejo. El grupo de inversores está presionando por la elección de Ana Amicarella, Chan Galbato y James Mitarotonda en el Consejo de Administración de Matthews, argumentando que estos cambios son importantes para desbloquear todo el potencial de valor de la empresa.
베어링턴 캐피탈은 매튜스 인터내셔널(NASDAQ: MATW)의 1.9%를 소유하고 있으며, 회사의 최근 68페이지의 투자자 프레젠테이션과 경영진의 접근 방식을 비판하는 주주들에게 편지를 보냈습니다. 활동가 투자자는 매튜스의 '오랜 기만 문화'를 강조하며 현상이 지속 가능한 것이 아니라고 주장합니다.
베어링턴은 매튜스가 지난 18년 동안 포트폴리오 간소화, 전략적 검토 실시, 비용 및 부채 감소, 이사회 독립 문제에 대해 실질적인 조치를 취하지 못했다고 주장합니다. 투자자 그룹은 아나 아미카렐라, 찬 갈바토, 제임스 미타로탄다를 매튜스 이사회에 선출할 것을 촉구하고 있으며, 이러한 변화가 회사의 전체 가치 잠재력을 발휘하는 데 중요하다고 주장합니다.
Barington Capital, détenant 1,9 % de Matthews International (NASDAQ: MATW), a envoyé une lettre aux actionnaires critiquant la récente présentation aux investisseurs de 68 pages de l'entreprise et l'approche de la direction. L'investisseur activiste souligne ce qu'il décrit comme la 'longue culture de tromperie' de Matthews et soutient que le statu quo est insoutenable.
Barington affirme que Matthews a échoué au cours des 18 dernières années à entreprendre des actions significatives pour simplifier son portefeuille, mener des revues stratégiques, réduire les coûts et la dette, ou aborder l'indépendance du Conseil. Le groupe d'investisseurs pousse pour l'élection de Ana Amicarella, Chan Galbato et James Mitarotonda au Conseil d'Administration de Matthews, arguant que ces changements sont essentiels pour libérer le plein potentiel de valeur de l'entreprise.
Barington Capital, das 1,9 % von Matthews International (NASDAQ: MATW) besitzt, hat einen Brief an die Aktionäre geschickt, in dem die jüngste 68-seitige Investorenpräsentation des Unternehmens und den Ansatz des Managements kritisiert wird. Der aktivistische Investor hebt hervor, was er als die 'langjährige Kultur der Täuschung' von Matthews beschreibt, und argumentiert, dass der Status quo nicht nachhaltig ist.
Barington behauptet, dass Matthews in den letzten 18 Jahren versäumt hat, bedeutende Maßnahmen zur Vereinfachung seines Portfolios, zur Durchführung strategischer Überprüfungen, zur Senkung von Kosten und Schulden oder zur Gewährleistung der Unabhängigkeit des Vorstands zu ergreifen. Die Investorengruppe drängt auf die Wahl von Ana Amicarella, Chan Galbato und James Mitarotonda in den Vorstand von Matthews und argumentiert, dass diese Änderungen wichtig sind, um das volle Wertpotenzial des Unternehmens zu erschließen.
- None.
- 18 years of alleged inaction on portfolio simplification
- Failure to conduct strategic reviews
- No meaningful cost reduction initiatives
- High indebtedness issues
- Board independence concerns
Insights
This activist campaign represents a pivotal moment for Matthews International, targeting fundamental issues that have plagued shareholder value creation. The company operates across three distinct segments - Memorialization, Industrial Technologies and SGK Brand Solutions - a structure that Barington argues has led to operational inefficiencies and suboptimal capital allocation.
The timing of this proxy contest is particularly strategic. Barington's criticism of Matthews' 18-year track record of inaction on portfolio simplification and cost reduction resonates against the backdrop of increasing pressure on industrial companies to streamline operations and enhance profitability. Their nominees bring relevant expertise:
- Ana Amicarella: Extensive operational experience in industrial businesses
- Chan Galbato: Track record in corporate turnarounds and operational optimization
- James Mitarotonda: Proven activist investor with experience in value creation
The company's reactive approach - releasing a lengthy defense only after Barington's proxy notification - suggests a defensive posture rather than proactive governance. This pattern often indicates entrenched management resistant to necessary strategic changes. Historical precedents in similar activist campaigns suggest that when boards react defensively rather than constructively engage, the probability of successful activist intervention increases.
For investors, this campaign presents a clear choice between maintaining the status quo or supporting a slate of directors focused on portfolio optimization, debt reduction and enhanced governance. The outcome will likely have significant implications for Matthews' future strategic direction, capital structure and operational focus. Given the company's underperformance and complex structure, the activist's push for simplification and strategic review appears well-timed and substantiated.
Highlights Matthews' Longstanding Culture of Deceit Most Recently Evidenced by its Meandering and Misguided 68-page Presentation
Believes Matthews' Status Quo is Untenable and the Election of Ana Amicarella, Chan Galbato and James Mitarotonda is Required to Drive Much-Needed Change and Long-Term Value Creation
Urges Shareholders to Vote the GOLD Proxy Card "FOR" the Election of ALL of Barington Capital's Nominees
The letter also details what Matthews shareholders stand to endure if the Company maintains the status quo and why Barington believes the election of Ana Amicarella, Chan Galbato and James Mitarotonda to the Matthews Board of Directors (the "Board") is critical to unlock the Company's full value potential.
The full letter is available at https://barington.com/matthews
James Mitarotonda, Chairman and CEO of Barington Capital, said, "We believe shareholders deserve to know the facts about Matthews' performance and leadership as well as the rationale for Barington's campaign for change. Simply put, the Company has failed to take any action over the last 18 years to simplify its portfolio, conduct a strategic review, reduce costs or indebtedness, or address Board independence. We find it deeply troubling that the Company would seek to obfuscate these facts rather than take accountability.
"Only after Barington notified Matthews of its intention to launch a proxy contest did the Company seemingly begin to take action, which we believe to be a desperate attempt to maintain the status quo and further entrench the Board. Facts don't lie. We encourage all shareholders to protect their investment in Matthews by electing Ana Amicarella, Chan Galbato and James Mitarotonda to the Board by voting the GOLD proxy card today."
FACTS DON'T LIE. FOLLOW THE FACTS AND VOTE GOLD TODAY!
For additional information regarding Barington's campaign at Matthews, visit: https://barington.com/matthews
ABOUT BARINGTON CAPITAL GROUP, L.P.
Barington Capital Group, L.P. is a fundamental, value-oriented activist investment firm established by James Mitarotonda in January 2000. Barington invests in undervalued publicly traded companies that Barington believes can appreciate significantly in value when substantive improvements are made to their operations, corporate strategy, capital allocation and corporate governance. Barington's investment team, advisors and network of industry experts draw upon their extensive strategic, operating and boardroom experience to assist companies in designing and implementing initiatives to improve long-term shareholder value.
Media Contact:
Jonathan Gasthalter/Amanda Shpiner
Gasthalter & Co.
212-257-4170
Important Information and Participants in the Solicitation
Barington has filed a definitive proxy statement and associated GOLD proxy card with the Securities and Exchange Commission ("SEC") to be used to solicit votes for the election of its slate of highly-qualified director nominees at the upcoming annual meeting of stockholders of the Company. Details regarding the Barington nominees and the participants in its solicitation are included in its proxy statement and Barington strongly advises all shareholders of the company to read the proxy statement and other proxy materials as they contain important information.
The participants in Barington's proxy solicitation are Barington, Barington Companies Investors, LLC, Barington Capital Group, L.P., LNA Capital Corp., James Mitarotonda, 1 NBL EH, LLC, Joseph Gromek, Ana B. Amicarella and Chan W. Galbato.
If you have any questions, require assistance in voting your GOLD universal proxy card, or need additional copies of Barington's proxy materials, please contact:
Okapi Partners
1212 Avenue of the
Banks and Brokerage Firms, Please Call: (212) 297-0720
Shareholders and All Others Call Toll-Free: (877) 285-5990
E-mail: info@okapipartners.com
View original content:SOURCE Barington Capital Group, L.P.
FAQ
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