Quipt Home Medical Responds to Kanen Wealth Management
Quipt Home Medical Corp. (NASDAQ: QIPT) (TSX: QIPT), a U.S. based home medical equipment provider specializing in respiratory care, has received a proxy solicitation notice from Philotimo Fund, LP, affiliated with Kanen Wealth Management, (KWM). The notice indicates KWM's intention to nominate four director candidates to Quipt's Board of Directors in opposition to the company's candidates.
The company's Board and Nominating and Corporate Governance Committee will review KWM's notice for compliance with company Articles and applicable laws. Lead Independent Director Mark Greenberg emphasized the company's commitment to executing their strategic growth plan and maintaining high corporate governance standards. The company states it has delivered consistent performance despite challenging industry conditions.
Quipt notes that it has not received a timely, valid, and compliant director nomination notice under U.S. securities laws and company Articles. No immediate shareholder action is required.
Quipt Home Medical Corp. (NASDAQ: QIPT) (TSX: QIPT), un fornitore statunitense di attrezzature mediche per la casa specializzato nella cura respiratoria, ha ricevuto un avviso di sollecitazione di voto da parte di Philotimo Fund, LP, affiliato a Kanen Wealth Management (KWM). L'avviso indica l'intenzione di KWM di nominare quattro candidati alla carica di direttore per il Consiglio di Amministrazione di Quipt, in opposizione ai candidati proposti dalla società.
Il Consiglio di Amministrazione dell'azienda e il Comitato di Nomina e Governance Aziendale esamineranno l'avviso di KWM per verificarne la conformità con gli statuti aziendali e le leggi applicabili. Il Direttore Indipendente Principale, Mark Greenberg, ha sottolineato l'impegno della società nell'eseguire il piano di crescita strategica e nel mantenere elevati standard di governance aziendale. La società afferma di aver fornito prestazioni costanti nonostante le difficoltà del settore.
Quipt osserva di non aver ricevuto un avviso di nomina valido, tempestivo e conforme alla legge sulle securities degli Stati Uniti e agli statuti aziendali. Non è richiesta alcuna azione immediata da parte degli azionisti.
Quipt Home Medical Corp. (NASDAQ: QIPT) (TSX: QIPT), un proveedor estadounidense de equipos médicos para el hogar especializado en el cuidado respiratorio, ha recibido un aviso de solicitud de poder de Philotimo Fund, LP, afiliado a Kanen Wealth Management (KWM). El aviso indica la intención de KWM de nominar a cuatro candidatos para el Consejo de Administración de Quipt en oposición a los candidatos propuestos por la compañía.
El Consejo de la compañía y el Comité de Nominaciones y Gobernanza Corporativa revisarán el aviso de KWM para verificar su cumplimiento con los estatutos de la empresa y las leyes aplicables. El Director Independiente Principal, Mark Greenberg, enfatizó el compromiso de la empresa de ejecutar su plan de crecimiento estratégico y mantener altos estándares de gobernanza corporativa. La empresa afirma haber logrado un rendimiento constante a pesar de las difíciles condiciones de la industria.
Quipt señala que no ha recibido un aviso de nominación de director que sea oportuno, válido y conforme a la ley de valores de EE. UU. y a los estatutos de la empresa. No se requiere ninguna acción inmediata por parte de los accionistas.
Quipt Home Medical Corp. (NASDAQ: QIPT) (TSX: QIPT), 호흡 치료를 전문으로 하는 미국 기반의 홈 의료 장비 제공업체가 Philotimo Fund, LP로부터 위임장 요청 통지를 받았습니다. 해당 기금은 Kanen Wealth Management (KWM)와 관련이 있습니다. 이 통지는 KWM이 Quipt의 이사회에 대해 회사의 후보에 반대하여 이사 후보 4명을 지명할 의도가 있음을 나타냅니다.
회사의 이사회 및 지명 및 기업 거버넌스 위원회는 KWM의 통지가 회사의 정관 및 적용 가능한 법률에 따른 준수 여부를 검토할 것입니다. 독립 이사인 Mark Greenberg는 회사가 전략적 성장 계획을 실행하고 높은 기업 거버넌스 기준을 유지할 것에 대한 의지를 강조했습니다. 회사는 어려운 산업 환경에도 불구하고 일관된 성과를 내고 있다고 밝혔습니다.
Quipt는 미국 증권법 및 회사의 정관에 따라 적시의 유효하고 준수되는 이사 지명 통지를 받지 못했다고 언급했습니다. 즉각적인 주주 행동은 필요하지 않습니다.
Quipt Home Medical Corp. (NASDAQ: QIPT) (TSX: QIPT), un fournisseur américain d'équipements médicaux à domicile spécialisé dans les soins respiratoires, a reçu un avis de sollicitation de procuration de Philotimo Fund, LP, affilié à Kanen Wealth Management (KWM). L'avis indique l'intention de KWM de nommer quatre candidats administrateurs pour le conseil d'administration de Quipt, en opposition aux candidats proposés par l'entreprise.
Le conseil d'administration de la société et le comité de nomination et de gouvernance d'entreprise examineront l'avis de KWM pour en vérifier la conformité avec les statuts de la société et les lois applicables. Le directeur indépendant principal, Mark Greenberg, a souligné l'engagement de l'entreprise à exécuter son plan de croissance stratégique et à maintenir des normes élevées de gouvernance d'entreprise. L'entreprise déclare avoir fourni des performances constantes malgré des conditions industrielles difficiles.
Quipt indique qu'elle n'a pas reçu d'avis de nomination de directeur valide, en temps utile et conforme aux lois sur les valeurs mobilières américaines et aux statuts de la société. Aucune action immédiate des actionnaires n'est requise.
Quipt Home Medical Corp. (NASDAQ: QIPT) (TSX: QIPT), ein in den USA ansässiger Anbieter von Heim医疗geräten mit Schwerpunkt auf Atemwegspflege, hat eine Proxy-Solicitation-Mitteilung von Philotimo Fund, LP erhalten, die mit Kanen Wealth Management (KWM) verbunden ist. Die Mitteilung weist darauf hin, dass KWM beabsichtigt, vier Kandidaten für das Board of Directors von Quipt zu nominieren, um gegen die Kandidaten des Unternehmens anzutreten.
Der Vorstand des Unternehmens und der Nominierungs- und Corporate-Governance-Ausschuss werden die Mitteilung von KWM auf die Einhaltung der Unternehmensstatuten und der geltenden Gesetze überprüfen. Der Lead Independent Director Mark Greenberg betonte das Engagement des Unternehmens, seinen strategischen Wachstumsplan umzusetzen und hohe Standards der Unternehmensführung aufrechtzuerhalten. Das Unternehmen erklärte, trotz schwieriger Bedingungen in der Branche eine konsistente Leistung erbracht zu haben.
Quipt weist darauf hin, dass es gemäß den US-Wertpapiergesetzen und den Unternehmensstatuten keine rechtzeitige, gültige und konforme Nominierungsnotiz für einen Direktor erhalten hat. Es sind keine sofortigen Maßnahmen von den Aktionären erforderlich.
- Consistent financial and operational performance maintained despite challenging industry conditions
- Potential board disruption from proxy contest with KWM
- Contested board election could create uncertainty for shareholders
Insights
This proxy battle attempt by Kanen Wealth Management represents a significant development for Quipt Home Medical, with substantial implications for corporate governance and strategic direction. The timing is particularly noteworthy as it comes amid ongoing industry challenges in the home medical equipment sector.
Several key factors warrant attention:
- Activist Catalyst: KWM's move to nominate four directors signals a potential desire for significant board control, suggesting dissatisfaction with current strategic direction or capital allocation decisions.
- Defensive Positioning: Quipt's response emphasizes their "consistent financial and operational performance" and "disciplined approach," classic defensive messaging that suggests they'll resist major governance changes.
- Legal Complexity: The company's statement about not receiving a "timely, valid and compliant notice" indicates they may challenge the legitimacy of KWM's nominations, potentially leading to a prolonged battle.
- Strategic Implications: This situation could accelerate strategic reviews, potentially leading to enhanced focus on operational efficiency, capital allocation optimization, or even consideration of strategic alternatives.
For investors, this development introduces both opportunities and risks. While activist involvement often catalyzes short-term value creation through operational improvements or strategic alternatives, it can also create uncertainty and potentially disrupt ongoing business initiatives. The company's dual-listing on NASDAQ and TSX adds complexity to this situation, as any proxy contest must navigate both U.S. and Canadian securities regulations.
Reaffirms commitment to enhancing shareholder value and strong corporate governance
CINCINNATI, Jan. 31, 2025 (GLOBE NEWSWIRE) -- Quipt Home Medical Corp. (the “Company”) (NASDAQ: QIPT) (TSX: QIPT), a U.S. based home medical equipment provider, focused on end-to-end respiratory care, acknowledges receipt of a notice from Philotimo Fund, LP, an entity affiliated with Kanen Wealth Management, LLC and David L. Kanen (“KWM”), purporting to provide notice of its intent to solicit proxies in support of four director candidates to the Company’s Board of Directors (the “Board”) in opposition to the Company’s four director candidates to the Board.
The Company remains steadfast in its mission to deliver long-term value to all shareholders. As part of the Company’s ongoing commitment to corporate governance, the Board and the Nominating and Corporate Governance Committee of the Board will thoroughly review and evaluate KWM’s notice and any additional requests for compliance with its established procedures under the Company’s Articles and all applicable laws.
“Our priority has always been to execute on our strategic growth plan ensuring we position the Company for long term success and adhere to the highest standards of corporate governance,” stated Mark Greenberg, Lead Independent Director of Board of the Company. “The Company has delivered consistent financial and operational performance in the midst of a challenged industry environment, and we believe our disciplined approach has positioned us to generate sustainable value for all stakeholders. We continue to evaluate and pursue avenues in which we can increase shareholder value, and we will not be distracted from achieving our long-term goals.”
The Company regularly engages with its shareholders and values constructive feedback aimed at strengthening the Company’s performance. We take these engagements seriously and maintain open lines of communication to ensure that shareholder perspectives are heard.
At this time, the Company has not received a timely, valid and compliant notice for nominating any directors to our Board pursuant to both U.S. securities laws and the Company’s Articles. Shareholders are not required to take any action at this time. The Company will provide updates as appropriate.
ABOUT QUIPT HOME MEDICAL
The Company provides in-home monitoring and disease management services including end-to-end respiratory solutions for patients in the United States healthcare market. It seeks to continue to expand its offerings to include the management of several chronic disease states focusing on patients with heart or pulmonary disease, sleep disorders, reduced mobility, and other chronic health conditions. The primary business objective of the Company is to create shareholder value by offering a broader range of services to patients in need of in-home monitoring and chronic disease management. The Company’s organic growth strategy is to increase annual revenue per patient by offering multiple services to the same patient, consolidating the patient’s services, and making life easier for the patient.
For further information please visit our website at www.quipthomemedical.com, or contact:
Cole Stevens
VP of Corporate Development
Quipt Home Medical Corp.
859-300-6455
cole.stevens@myquipt.com
Gregory Crawford
Chief Executive Officer
Quipt Home Medical Corp.
859-300-6455
investorinfo@myquipt.com
Forward-Looking Statements
Certain statements contained in this press release constitute “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 or “forward-looking information” as such term is defined in applicable Canadian securities legislation (collectively, “forward-looking statements”). The words “may”, “would”, “could”, “should”, “potential”, “will”, “seek”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect”, “outlook”, or the negatives thereof or variations of such words, and similar expressions as they relate to the Company, are intended to identify forward-looking information. All statements other than statements of historical fact, including those that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance are not historical facts and may be forward-looking statements and may involve estimates, assumptions and uncertainties that could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. Such statements reflect the Company’s current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking statements to vary from those described herein should one or more of these risks or uncertainties materialize. Examples of such risk factors include, without limitation, those risk factors discussed or referred to in the Company’s disclosure documents, including the Company’s most recent Annual Report on Form 10-K, filed with United States Securities and Exchange Commission (the “SEC”) and available at www.sec.gov, and with the securities regulatory authorities in certain provinces of Canada and available at www.sedarplus.com. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking statement prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking statements are expressly qualified in their entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking statements. The forward-looking statements included in this press release is made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.
Important Additional Information
On January 24, 2025, the Company filed a Management Information and Proxy Circular (as may be amended or supplemented from time to time, the “Circular”) and WHITE Proxy Card with the SEC and on the System for Electronic Document Analysis and Retrieval (“SEDAR+”) in connection with its solicitation of proxies in support of four director candidates to the Board at the 2025 annual general meeting of shareholders of the Company to be held on March 17, 2025 (including any adjournments, reschedulings, continuations or postponements thereof, the “Meeting”).
On January 25, 2025, the Company received a letter pursuant to Rule 14a-19(b) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), from KWM purporting to provide notice of KWM’s intent to solicit proxies in support of four director candidates in opposition to the Company’s four director candidates. In addition to satisfying the SEC’s universal proxy rules, KWM must also comply with the advance notice requirements under the Company’s Articles (the “Advance Notice Policy”) in order to nominate a candidate for election to the Board. At this time, the Company has not received a timely, valid and compliant notice pursuant to both U.S. securities laws and the Advance Notice Policy. In the event that the Company determines that is has received a timely, valid and compliant notice under the U.S. securities laws and the Advance Notice Policy, then the Company will file revised proxy materials, including a new proxy circular and new WHITE Universal Proxy Card, with the SEC and SEDAR+ in connection with the Meeting. If necessary, shareholders will be able to obtain the new proxy circular, any amendments or supplements to the new proxy circular and other documents filed by the Company with the SEC and SEDAR+ at no charge at the SEC’s website at www.sec.gov and on SEDAR+ at www.sedarplus.com. Copies will also be available at no charge at the Company’s website at https://quipthomemedical.com/sec-filings/.
SHAREHOLDERS OF THE COMPANY ARE STRONGLY ENCOURAGED TO READ THE CIRCULAR, ACCOMPANYING WHITE PROXY CARD AND ALL OTHER RELEVANT DOCUMENTS THAT MAY BE FILED WITH, OR FURNISHED TO, THE SEC AND SEDAR+ (INCLUDING, IF NECESSARY, A NEW PROXY CIRCULAR AND WHITE UNIVERSAL PROXY CARD) CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE, AS THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE MEETING.
Participant Information
The Company, its directors (Gregory Crawford, Chairman of the Board and Chief Executive Officer, Mark Greenberg, Dr. Kevin A. Carter and Brian J. Wessel) and certain of its executive officers (Hardik Mehta, Chief Financial Officer) are “participants” (as defined in Section 14(a) of the Exchange Act) in the solicitation of proxies from the Company’s shareholders in connection with matters to be considered at the Meeting. Information about the compensation of our non-employee directors and our named executive officers is set forth in the section of the Circular titled “Executive Compensation,” which commences on page 15 and is available here. Information regarding the participants’ holdings of the Company’s securities can be found in the section if the Circular titled “Voting Securities and Principal Holders,” which commences on page 3 and is available here. Updated information regarding the identity of potential participants, and their direct or indirect interests, by security holdings or otherwise, will be set forth in the new proxy circular, if necessary, and in other materials that may be filed with the SEC and SEDAR+ in connection with the Meeting.
FAQ
What is the proxy contest between Kanen Wealth Management and Quipt Home Medical (QIPT)?
How many board seats is Kanen Wealth Management seeking on QIPT's board?
Has QIPT received a valid director nomination notice from Kanen Wealth Management?
What actions are required from QIPT shareholders regarding the proxy contest?
