Cannae, Senator send letter boosting CoreLogic bid
Cannae Holdings and Senator Investment Group sent a letter to CoreLogic shareholders on Friday urging them to vote for nine new board members to support their unsolicited buyout bid.
“One need look no further than the 40+% rise in the company’s stock price since our involvement, or CoreLogic’s largest shareholder for over seven years selling their entire 17% position around our proposal price, to see that this is what shareholders want,” the companies said in the letter, which it publicized via a press release put out by Business Wire.
Cannae and Senator said they owned a 15% economic stake in the real estate data and analytics provider, including stock and options. The two companies sent CoreLogic’s shareholders a gold-colored card to vote by proxy that would remove all nine of the existing board members and replace them with its own slate.
CoreLogic did not respond to a HousingWire request for comment.
Last month, CoreLogic’s board called for a special shareholders meeting on Nov. 17 to vote on replacing the company’s directors with the slate backed by Cannae and Senator, saying it sought to “remove uncertainty” for shareholders.
CoreLogic said last month it believes the unsolicited proposal from Cannae and Senator to acquire CoreLogic at $65 per share “significantly undervalued” the company.
“In our view, their call to replace the CoreLogic board is an attempt to distract from their failure to put forward a proposal that appropriately values CoreLogic,” the board said in last month’s statement.
In July, Cannae and Senator accused the housing-data company of increasing its share count and adopting a poison pill – or shareholder-rights plan – to dilute their holdings to 9.9% and essentially freeze the position of the two investors.
In its letter on Friday, Cannae, a holding company based in Las Vegas and Senator, a hedge fund manager based in New York, said they are open to increasing their offer “if allowed targeted diligence that supports a higher value.”
The companies also excoriated CoreLogic’s board for what it said was a “decade of underperformance” before ending the letter with: “We have tried to engage constructively with CoreLogic’s Board, and we still hope they will engage with us.”
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