2/26/2026

Ancora Holdings Pushes Warner to Walk Away From Netflix Deal

Wall Street Journal (02/26/26) Thomas, Lauren

Ancora Holdings has built a roughly $200 million stake in Warner Bros. Discovery (WBD) and is planning to oppose Warner’s deal to sell its movie and television studios and HBO Max streaming service to Netflix (NFLX), according to people familiar with the matter. Ancora, which could announce its position as soon as Wednesday, believes that Warner failed to adequately engage with David Ellison’s Paramount Skydance (PSKY) after it made a rival all-cash offer for the entire business, including its cable-network group, at $30 a share, the people said. The arrival of an activist, even with a small stake in the company, will add yet another dose of uncertainty and drama to an already drawn-out fight for the Hollywood studio. Netflix has signed a $72 billion deal, but Paramount, which is bidding nearly $78 billion for the whole company, has gone straight to shareholders and threatened to wage a board fight at the same time. Ancora, a roughly $11 billion fund that has a history of lobbying in the middle of deals, emailed Warner Chief Executive Officer David Zaslav on Tuesday to say that it is considering launching its own proxy fight if Warner’s board doesn’t negotiate the best deal for shareholders with Paramount, the people added. Warner has a market value of roughly $69 billion as of Tuesday, making Ancora’s stake in the company less than 1%. But Ancora plans to continue buying Warner shares, the people familiar with the matter added, and, even with a small stake, it adds a voice that could help rally other investors around opposing the Netflix transaction. Many shareholders remain on the fence over which deal is better and are anticipating the offers could be revised further. A shareholder vote is expected next month. Netflix agreed in December to pay $27.75 a share in cash for Warner’s studios and HBO Max streaming service. That would leave investors also holding shares in Discovery Global, a new company housing Warner’s cable networks, which it plans to spin off later this year. Paramount’s hostile bid for all of Warner Discovery includes its cable-networks unit that includes CNN, TNT, Food Network, and other channels. Warner has consistently rebuffed Paramount’s offer, arguing Netflix’s deal has greater value, more secure financing and a cleaner path to regulatory approval. Paramount on Tuesday enhanced its hostile offer, including agreeing to pay the $2.8 billion termination fee Warner would owe Netflix should that deal collapse. Paramount also said it was adding a “ticking fee” of 25 cents a share, which it would pay to Warner shareholders for each quarter its deal hasn’t closed, starting in January 2027. If Ancora were to proceed with nominating director candidates, it would focus on replacing individuals with ties to Zaslav, the people familiar with the matter said. Ancora has privately questioned the Warner CEO about whether he favored the Netflix deal to obtain an executive role with the streaming company after the transaction closes, they added. Ancora has antitrust concerns about the Netflix deal it calls “uncertain and inferior.” And it questions the Discovery Global spinoff, which would put $17 billion in Warner debt on the company’s cable-TV networks, which have a declining number of viewers, according to a presentation from the investor seen by The Wall Street Journal. In that presentation, Ancora defends Paramount’s viability as a buyer, pointing to the record of Ellison and his father, the billionaire Oracle (NYSE: ORCL) co-founder Larry Ellison. It also said it expects Paramount to receive swift antitrust approval. Many investors and analysts still largely expect Paramount could increase its $30-a-share offer. Analysts at Raymond James said in a recent note to clients that “many WBD shareholders still expect PSKY has not made its best and final offer, and will raise its bid by ~$2-3 per share.” Cleveland-based Ancora has a history of pushing for deals, both publicly and behind the scenes. In 2024, it built a huge stake in Norfolk Southern (NYSE: NSC) and later won seats on the railroad operator’s board before the company agreed to be acquired by Union Pacific (NYSE: UNP) for almost $72 billion. It also recently privately pushed bubble-wrap maker Sealed Air to sell itself, before the business agreed to be bought by CD&R.

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2/24/2026

Palliser Capital Seeks Court Order to Force Shareholder Proposals onto LG Chem AGM Agenda

alphabiz.co.kr (02/24/26) Jisun, Kim

Palliser Capital, which has been pursuing engagement with LG Chem (KRX: 051910), has filed for a court injunction seeking to require the company to place shareholder proposals on the agenda of its upcoming annual general meeting (AGM). LG Chem disclosed on Sunday that Palliser Capital Master Fund filed an application with the Seoul Southern District Court for a provisional injunction to mandate the inclusion of shareholder-proposed items on the AGM agenda. A hearing has been scheduled for March 4. In its filing, Palliser requested that the court order LG Chem to: (i) include the shareholder-proposed items on the agenda of the AGM; (ii) notify shareholders of each proposed item at least two weeks prior to the AGM date through the official notice of convocation or an equivalent public announcement; and (iii) bear the legal costs associated with the application. The injunction request is widely seen as a preemptive legal move, as Palliser’s shareholder proposals—submitted to LG Chem on February 10—may not be adopted as formal AGM agenda items. Palliser is reported to have held more than a 1% stake in LG Chem on a long-term basis. Palliser has called for amendments to LG Chem’s articles of incorporation to allow for non-binding shareholder proposals, as well as the introduction of a lead independent director system. The fund has also urged the company to enhance management transparency and capital allocation by proposing measures including: regular disclosure of the net asset value (NAV) discount; the adoption of key performance indicators (KPIs) reflecting capital efficiency; and a review of equity-linked compensation schemes. In particular, Palliser has recommended that LG Chem reduce its ownership stake in LG Energy Solution to below 70% and use the proceeds to fund share buybacks as part of its value enhancement strategy. LG Chem currently holds approximately a 79% stake in LG Energy Solution (KRX: 373220). Palliser argues that LG Chem continues to trade at a significant discount to its net asset value, asserting that weaknesses in corporate governance and capital allocation policies are the primary drivers of the company’s undervaluation.

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2/24/2026

Elliott Woos Shareholders Backing Toyota Industries Buyout, Sources Say

Reuters (02/24/26) Nussey, Sam; Bridge, Anton

Elliott Management has offered to pay around market price to buy Toyota Industries (6201.T) shares from holders who have agreed to a tender offer that the activist said undervalues the forklift truck maker, two people familiar with the matter said. Elliott has approached shareholders including suppliers and financial institutions that have backed the Toyota group's take-private bid, the people said, declining to be identified as the information is not public. Elliott's success would translate into reduced support for the buyout, hampering Toyota's attempt to reshape the group. The deal is widely seen as a test case for governance in Japan where regulators are encouraging companies to unwind cross-shareholding arrangements and improve capital efficiency. Toyota Industries' share price closed at 20,200 yen ($130) on Friday. Markets were closed on Monday for a public holiday. That was roughly 7% above the 18,800 yen proposed by Toyota, which announced the plan in June and this month extended the offer due to insufficient shareholder support. Elliott has said Toyota Industries shares are worth more than 26,000 yen each. It owns around 7% of the company, showed a filing from early February, and must report to the stock exchange whenever its holding changes by 1% or more. Toyota sweetened its offer in January and has said its raised price reflects the intrinsic value of the company and that it has no intention of hiking again. As of mid-February, Toyota needed 9% of shareholders to agree to sell the group their holdings for it to reach the two-thirds majority needed to take control of the company. Shareholders that have agreed to sell include Ibiden (4062.T), Mitsui Sumitomo Insurance and Tokio Marine & Nichido Fire Insurance, filings from January showed. Ibiden has outlined plans to reduce cross-shareholding arrangements and in January said selling its Toyota Industries stock will improve its own corporate value and benefit shareholders.

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2/24/2026

Japan's Top Business Lobby Put Off Private Meeting with Elliott

Reuters (02/24/26) Yamazaki, Makiko

Keidanren, Japan's biggest business lobby, has put off a private meeting scheduled for next month with Elliott Investment Management, an official from the lobby group said on Tuesday. The planned meeting on March 5 was meant to be an opportunity for an Elliott portfolio manager overseeing Japanese equity investments to outline the fund's investment strategy and approach to engagement with companies, followed by "a frank exchange of views," Reuters reported last month. An official at Keidanren said the meeting had been put off due to "various reasons," but declined to comment further. Elliott did not respond to a request for comment. Elliott has a growing presence in Japan, taking stakes in and pushing for changes at major companies, and is opposing Toyota's (NYSE: TM) attempt to buy out forklift maker Toyota Industries (6201.T). The Toyota deal is seen as a test case for corporate governance in Japan where regulators are encouraging companies to unwind cross-shareholding arrangements and improve capital efficiency. Elliott has criticized the deal as being underpriced and lacking transparency. Toyota, which is a member of the lobby group, has extended its tender offer to March 2 due to insufficient shareholder support. Elliott has offered to buy shares from investors who have agreed to the offer, which if successful would translate into reduced support for the buyout, Reuters reported on Tuesday. The investor has also taken stakes in other companies such as Tokyo Gas (9531.T), Kansai Electric Power (9503.T), and Sumitomo Realty & Development (8830.T), all members of the lobby group.

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2/24/2026

Activist Irenic Builds Stake in Ralliant, Pushes for Cost Cuts

Reuters (02/24/26) Herbst-Bayliss, Svea

Irenic Capital Management has built a sizable stake in Ralliant (RAL.N) and wants the precision technology maker to cut costs, buy back more stock at a faster pace and focus more on its defense and electronics business, two sources familiar with the matter said. Irenic owns roughly 2% of Ralliant and has met with management numerous times to discuss possible changes to help the $4.7 billion company perform better, according to the sources who are not permitted to discuss the private talks. A company representative was not immediately available for comment. Specifically, the New York-based hedge fund wants the Raleigh, North Carolina-headquartered company to commit to buying back more stock. The company had said again in early February, when it announced earnings, that the board's repurchase authorization of $200 million made last year "remains fully available." Irenic however feels the company could announce a larger buyback and an accelerated share repurchase program, a fast, contract-based method for a company to buy back a large volume of its own shares immediately, the sources said. Irenic is also pushing Ralliant to cut day-to-day operating expenses after the company surprised investors by twice increasing its forecast for costs, including merit increases and other employee expenses. And Irenic wants the company to concentrate more on its sensors and safety systems business, which contributes roughly 80% of the company's earnings, the sources said. Ralliant's test and measurement business makes up the rest. Industry analysts have noted that the volatility of the test and measurement business has hurt the company overall, helping push its stock price down 20.5% since Ralliant was spun out of industrial technology conglomerate Fortive (FTV.N) less than a year ago. In early February, Ralliant's stock price plunged roughly 30% as investors reacted negatively to indications that future costs would be higher than what shareholders had expected. Irenic, co-founded by Adam Katz and Andy Dodge, has told other investors and the company privately that its two businesses do not logically fit together, the sources said. Ralliant's test and measurement business might find a better home with competitors such as engineering services company Emerson Electric (EMR.N) which purchased National Instruments in 2023, industry analysts have said. At the same time, the sources noted that Irenic believes the sensors and safety systems business should be able to grow in the high single digits for many years, fueled by megatrends including the rebuilding and maintenance of the U.S. electrical grid and ramping up the country's missile defense system. Ralliant subsidiary Qualitrol makes sensor components to track the performance of utility electrical assets, including power plants, transformers and towers. Ralliant's Pacific Scientific EMC unit manufactures pyrotechnic components for missiles and space systems. Irenic has a history of investing in aerospace and defense companies and it has previously pushed some companies to separate into more focused businesses or to sell themselves. Barnes Group, where Irenic urged changes, sold itself to private equity firm Apollo in early 2025.

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2/23/2026

Jack in the Box Sued by Investor Over Proxy-Vote Disclosure

Bloomberg (02/23/26) Feeley, Jef

An investor in Jack in the Box Inc. (NASDAQ: JACK) accused the company of a “smear campaign” against him and asked a judge to order the iconic burger chain to correct disclosures about an upcoming proxy vote on whether to oust the chairman. Biglari Capital Corp., led by veteran food-industry investor Sardar Biglari, sued Jack in the Box Chairman David Goebel, along with other company directors Friday in Delaware Chancery Court. He demanded the chain retract what he called factually flawed statements about the investment firm. Biglari – the company’s largest shareholder with almost 10% of its shares — is urging shareholders to vote out Goebel, saying Jack in the Box has underperformed under his watch. The vote is set for Feb. 27. “Instead of allowing shareholders to evaluate Mr. Biglari’s proxy efforts independently, the board has opted to engage in a smear campaign against Mr. Biglari” as part of an improper effort to hold onto their seats, Biglari’s lawyers said in court filings. The filings point to assertions that Biglari “has a history of ‘value destruction,’ ‘wast[ing] resources,’ and ‘erratic behavior’ in connection with his prior investments,” and that the group “will destroy long-term value for shareholders because Mr. Biglari has engaged in self-interested behavior not designed to maximize shareholder value.” “Jack in the Box intends to vigorously defend itself to the extent the Biglari Group determines to continue to proceed with its lawsuit,” officials of the San Diego-based chain said Monday in an emailed release. In the past, Biglari has launched campaigns targeting other food companies, such as burger chain Steak ’N Shake and Western Sizzlin steakhouses. Biglari also waged an unsuccessful 14-year battle against the Cracker Barrel (NASDAQ: CBRL) chain over its management. His efforts to lobby Cracker Barrel shareholders to add him to its board didn’t prevail. Jack in the Box’s most recent quarterly report may provide fuel for Biglari’s claims the chain lags behind other fast-food rivals. The company reported its same-store sales declined 6.7% in its fiscal first quarter of 2026, compared with a year earlier. The chain, which opened in 1951, has more than 2,100 locations in 22 states, mostly in the western half of the United States. Industry leader McDonald’s Corp’s (NYSE: MCD) more than 41,000 U.S. locations. Besides trying to oust Goebel from the board, Biglari is urging fellow Jack in the Box investors to shoot down a so-called poison-pill takeover defense the company erected after he started acquiring stock. The defense limits investors to owning no more than 12.5% of its shares. In its Feb. 6 proxy about the upcoming vote, Biglari said Jack in the Box officials included “a litany of both objectively false statements of fact and unsupported, baseless and defamatory descriptions” of his firm. The investor originally sought to have Delaware Chancery Court Chief Judge Kathaleen St. J. McCormick put the vote on hold for corrections. McCormick ruled Monday she wouldn’t stop the vote for corrective measures, Jack in the Box officials said in the emailed release.

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2/22/2026

Investor Ed Garden Builds Stake in Fortune Brands, Seeking New CEO

Wall Street Journal (02/22/26) Thomas, Lauren

Investor Ed Garden has built a stake in building-products supplier Fortune Brands Innovations (NYSE: FBIN), the maker of Moen faucets and Master Lock padlocks, and is seeking to replace the incoming chief executive along with other changes, according to people familiar with the matter. Garden Investments is now among the top shareholders in Fortune Brands and aims to become the company’s largest shareholder over time, the people said. The exact size of the firm’s stake couldn’t be learned. Garden has privately nominated a slate of director candidates ahead of Fortune Brands’ next annual shareholder meeting, a representative for Garden Investments confirmed. The company has a staggered board, meaning only a certain number of directors come up for election each year, in this case three. Fortune Brands is best known for its home- and building-products brands including Moen, House of Rohl kitchen and bath fixtures, SentrySafe waterproof safes and others. The company has a market value of around $6.5 billion, after its shares fell nearly 30% over the past five years. Its biggest rival Masco (NYSE: MAS), which makes Delta faucets, is up close to 40% over that time period. Fortune Brands earlier this month announced that CEO Nicholas Fink was departing to pursue another leadership opportunity. That same day, it reported weak quarterly results, sending shares down 18%. It said it would be replacing Fink with Amit Banati, an existing board member with a background in consumer products, effective in May. Banati has most recently been the chief financial officer of Kenvue (NYSE: KVUE), the Tylenol and Listerine maker being sold to Kimberly-Clark (NASDAQ: KMB). Garden is concerned Fortune Brands is rushing into a mistake with its leadership after announcing Banati just one day after Fink informed the company that he was leaving. Garden saw Fink—who was tapped as CEO about six years ago—as lacking leadership and industry experience, according to the people familiar with the matter. He views tapping Banati as making the same mistake, the people said. Garden sees an opportunity to build Fortune Brands over the next decade both organically and through mergers and acquisitions, once better corporate governance is in place, the people said. The firm isn’t pushing for any separation of the business, but wants to run a fresh CEO succession process, they added. A spokesperson for Fortune Brands confirmed it had received Garden’s nominees and said the company’s board was engaging constructively with Garden. “Fortune Brands remains focused on taking proactive actions in response to a challenging market environment, including enhancing profitability and continuing to invest in the innovations and capabilities that support sustainable, long-term shareholder value,” the spokesperson said. Garden Investments was started by Garden as a family office roughly two years ago, after he departed Trian Fund Management, another firm he helped start alongside Nelson Peltz. Last year, Garden took a stake in kitchen-equipment maker Middleby (NASDAQ: MIDD) and pushed for changes before he joined the board. Billionaire investor Josh Harris’s firm, 26North Partners, struck a deal late last year to take a controlling stake in Middleby’s kitchen-products division, which owns brands like Viking and Rangemaster. While he was at Trian, Garden took a board seat at the once sprawling conglomerate General Electric (NYSE: GE) and helped recruit new leadership. After the company broke into three, Garden maintains a board seat at GE Aerospace. The building products industry in the U.S. has been under pressure with existing home sales at multidecade lows. The Trump administration has been pushing for new-home construction, in an attempt to increase supply and lower home prices. Companies like Home Depot (NYSE: HD), Lowe’s (NYSE: LOW), and QXO (NYSE: QXO) have looked to take advantage of an industry that has fallen out of favor by striking a series of big building-products deals in recent months. Garden Investments sees a chance for Fortune Brands to be able to seize on a similar opportunity, the people familiar with the matter said.

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