Casablanca Formally Nominates Majority Slate For Miner’s Board

Jun 12 2014 | 9:32am ET

Hedge fund Casablanca Capital is moving forward with its bid to take control of mining company Cliffs Natural Resources, spurning the company’s latest olive branch.

The New York-based firm said yesterday that it had filed its definitive proxy statement with regulators, seeking the election of six directors to Cliffs’ 11-member board of directors. The move follows Cliffs’ decision to nominate only nine candidates, ensuring that at least two of Casablanca’s will join the board after its annual meeting in July.

Cliffs said it made that choice after discussions with shareholders. The company had previously offered Casablanca two seats, which the hedge fund rejected.

Casablanca made clear that it still isn’t satisfied with just two seats, with Chairman Donald Drapkin arguing that Cliffs’ “current board has presided over an extended period of gross underperformance and poor decisionmaking that has led to significant shareholder value destruction.”

Casablanca wants Cliffs to spin off its international operations and to restructure its U.S. business as a master-limited partnership. One of its six candidates, Lourenco Goncalves, would take over as Cliffs CEO should the hedge fund prevail next month.


In Depth

Why Ponzi Schemes Work: An In-Depth Look At The Allen Stanford Fraud

Dec 21 2014 | 10:30am ET

Texan Allen Stanford first appeared on the radars of financial regulators in 1997...

Lifestyle

Hedgie Funds US Squash Program

Dec 24 2014 | 8:46am ET

Squash, anyone?

Guest Contributor

EidoSearch’s Top Three Market Projections For 2015

Dec 23 2014 | 4:03am ET

It is that time of year again when prognosticators make their big market calls for...

 

Sponsored Content

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

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

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.