Audley Capital Proposes New Board For Walter Energy

Feb 20 2013 | 1:23pm ET

Britain's Audley Capital will nominate five candidates to the board of Walter Energy, arguing the coal-mining firm has “failed to deliver shareholder value” since its 2010 acquisition of Western Coal Corp.

Audley accuses Birmingham, Alabama-based Walter, which has been hit by slowing steelmaker demand for the metallurgical or “coking” coal it mines, of making questionable financial decisions, lacking consistent leadership and missing quarterly earnings targets.

In a statement it also accuses the coal-mining firm of having a “stale and out-of-depth board,” to redress which it is recommending its own slate of directors: Eddie Scholtz, formerly of BHP Billiton; Mark Lochtenberg, formerly the co-head of Glencore International's worldwide coal division; Robert Stan, a Canadian coal industry vet; Lawrence Clark, Jr., president and CEO of JW Resources; and Julian Treger, described as “one of the most experienced activists in the mining space.”

Walter Energy, in its own statement, said it was "committed to creating value for all shareholders through the successful execution of the company's strategy."

Audley was a major shareholder in Western Coal, selling a 19.8% stake in the company to Walter Energy in 2010.

Walter has yet to set a date for its 2013 annual meeting. It now has 10 board members—nine independent directors and its chief executive.


In Depth

Q&A: Neil Azous Talks Global Macro Investing

Nov 24 2014 | 12:41pm ET

Neil Azous is the founder and managing member of Rareview Macro, an advisory firm...

Lifestyle

Scene Last Night: Clinton, Schwarzman, Corzine, Neidich, Diamond

Nov 25 2014 | 5:52pm ET

Steve Schwarzman had a granddaughter yesterday morning. Last night he sat one table...

Guest Contributor

Why The Big Money Is Going To Europe

Nov 14 2014 | 6:03am ET

Peer-to-peer lending was invented with the individual investor in mind. But despite...

 

Sponsored Content

    For Hedge Funds, Mastering Data Is Key To Success

    Nov 4 2014 | 9:45am ET

    Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

November 2014 Cover

Building a better market

Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.