Hedge Fund Sees Opportunity On Gyrodyne’s Board

Nov 8 2006 | 3:34pm ET

One-time helicopter manufacturer Gyrodyne Company of America’s board of directors is in danger of being grounded.

Activist hedge fund Opportunity Partners now owns nearly one-fifth of the Saint James, N.Y.-based company, it said in a regulatory filing, and has nominated three candidates for its nine-member board of directors. The Phillip Goldstein-run fund, which in April sought to acquire the whole of Gyrodyne for about $60 million, also announced its intention to trash the company’s poison pill.

Gyrodyne, which got out of the helicopter-making business in the 1970s, transforming itself into a real estate holding company, has proposed expanding the size of its board, as well as purchasing 10 buildings in Port Jefferson Station, N.Y. Last year, the State University of New York at Stony Brook condemned nearly 80% of the company’s flagship property, Flowerfield, in Saint James.

According to Opportunity’s 13D/A filing, both actions are “inconsistent” with Gyrodyne President and CEO Stephen Maroney’s statement in April that “our goal is to put the maximum amount of cash or marketable securities in the hands of our shareholders in a tax-efficient manner.”


In Depth

Humble in Hofstra...One Debate an Election Can Make

Sep 26 2016 | 10:20am ET

Tonight's U.S. Presidential debate, infamously coined the “Humbling in Hofstra...

Lifestyle

Vortic: Reimagining the Custom Wristwatch

Sep 27 2016 | 7:24pm ET

American watch manufacturer Vortic, which started out restoring antique pocket watch...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...