JANA Partners Demands Zendesk Board Immediately Terminate Proposed Acquisition of Momentive

Rhea-AI Summary

JANA Partners LLC has urged Zendesk's Board of Directors to halt the acquisition of Momentive (formerly SurveyMonkey). This letter reflects JANA's concerns regarding the strategic fit and financial implications of the deal. The demand comes as the proposed acquisition raises questions about potential impacts on shareholder value and company direction. JANA's communication highlights growing shareholder discontent over the acquisition strategy, emphasizing the need for immediate reconsideration.

Positive

• The acquisition may provide strategic growth opportunities if well-integrated.
• Potential for expanded market reach and enhanced product offerings.

Negative

• Increased shareholder dissent could lead to instability in Zendesk's governance.
• Concerns around financial strain and integration challenges from the Momentive acquisition.

NEW YORK, Nov. 30, 2021 /PRNewswire/ -- JANA Partners LLC today announced that it has sent a letter to the Zendesk (NYSE: ZEN) Board of Directors calling on them to immediately terminate the proposed acquisition of Momentive (NASDAQ: MNTV-formerly SurveyMonkey).

The full text of JANA Partners LLC's letter is available for viewing at the following link:

https://www.janapartners.com/zendesk

 

Contact: IR@janapartners.com

View original content:https://www.prnewswire.com/news-releases/jana-partners-demands-zendesk-board-immediately-terminate-proposed-acquisition-of-momentive-301434335.html

SOURCE JANA Partners LLC

FAQ

Why is JANA Partners demanding Zendesk terminate the Momentive acquisition?

JANA Partners is concerned about the strategic fit and potential financial implications for shareholders.

What are the potential impacts of the proposed acquisition of Momentive by Zendesk?

The acquisition may lead to financial strain and challenges in integrating Momentive into Zendesk's operations.

What is the response from Zendesk regarding JANA Partners' letter?

As of now, there has been no official response from Zendesk regarding JANA Partners' demands.

What is the financial concern surrounding the acquisition of Momentive?

There are worries that the acquisition could dilute shareholder value and affect Zendesk's financial stability.

When did JANA Partners send their letter to Zendesk's Board?

JANA Partners sent their letter on November 30, 2021.