Satellite communication services provider Globecomm Systems has announced it has received requests from “several shareholders” to put the company up for sale.
In a sober response to calls for a public auction, Globecomm stated that its board…
Satellite communication services provider Globecomm Systems has announced it has received requests from “several shareholders” to put the company up for sale.
In a sober response to calls for a public auction, Globecomm stated that its board actively reviews short and long term growth strategies, including external approaches to the company.
C J Waylan, chairman of the company’s strategy committee, stated: “Globecomm’s executives and board are committed to maximising long-term value for all shareholders and to maintaining an ongoing, constructive dialogue with shareholders.”
The company reiterated its recommendations that shareholders vote for all proposals at its annual meeting on 15 November, including non-executive board nominees.
In an interview with SatelliteFinance last year, Globecomm CEO David Hershberg confirmed the company had reviewed unsolicited takeover offers from “a couple of people”, following speculation that it had hired JP Morgan to look into a potential deal.
However, Hershberg insisted at the time that there was no active intention to sell the company, and it had looked into the offers as part of its duties as a public company. Instead, he said the company planned to focus on expanding its presence in existing verticals, after growing rapidly through a series of acquisitions between 2009 and 2011.
Globecomm posted US$381.9m in 2012 revenues, compared with US$274.2m for the corresponding period last year. Its 2012 EBITDA increased to US$51m, compared with US$25m for 2011.
Its leading shareholder is NSB Advisors with a 19% stake, followed by Wellington Management Company, Discovery Group I and Dimensional Fund Advisors.
