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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2/17/2026

Genuine Parts to Split Into Industrial and Auto Businesses; Sees Weak FY26 Profit

Reuters (02/17/26) Sarkar, Apratim

Automotive and industrial parts distributor Genuine Parts (GPC.N) will separate into two independent companies, it said on Tuesday, months after a deal with Elliott Investment Management. The move follows a comprehensive strategic and operational review of market opportunities, in-flight initiatives and the company's structure, it said. The separation into two publicly traded companies – Automotive Parts Group and Industrial Parts Group – follows a settlement late last year with shareholder Elliott. Investors have increasingly pushed companies to simplify corporate structures and shed underperforming or non-core divisions, arguing that leaner businesses unlock greater shareholder value. The split, which does not require shareholder approval, is expected to be completed in the first quarter of 2027. Company names, executive teams and the boards for the separated companies would be announced at a later date. Founded in 1928, Genuine Parts now has a market value of roughly $20 billion as its Automotive Parts Group distributes replacement parts around the world, primarily under the NAPA brand name. Its Motion Industries unit supplies advanced engineered components and technical services to manufacturing and industrial customers across the United States. Separately, Genuine Parts forecast full-year 2026 profit below Wall Street estimates. It sees adjusted EPS between $7.50 and $8.00, while analysts expect $8.44, according to data compiled by LSEG. Shares of the Atlanta-based company, fell nearly 6% in premarket trading on Tuesday. Industrial sales for the fourth quarter was up 4.6% at $2.2 billion from a year earlier. High interest rates and elevated household expenses have prompted many U.S. consumers to postpone non-essential vehicle maintenance in the past. Genuine Parts' adjusted profit for the fourth-quarter was $1.55 per share, compared with analysts' average estimate of $1.82 per share. Revenue for the quarter was about $6.01 billion, with estimates of $6.06 billion. Last year, industrial conglomerate Honeywell (HON.O) announced plans to split into three independent companies following pressure from Elliott.

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2/17/2026

Elliott Investment Management Builds Big Stake in Norwegian Cruise Line

Wall Street Journal (02/17/26) Thomas, Lauren

Elliott Investment Management has built a more than 10% stake in Norwegian Cruise Line (NCLH) and plans to push for changes to turn the struggling cruise-ship operator around, according to people familiar with the matter. Elliott, now one of Norwegian’s top investors, is planning to engage with the company to try to help fix its underperformance, the people said. Norwegian is the fourth-largest cruise operator in the world by number of passengers, with a market value of roughly $10 billion. Its brands include the more premium Oceania Cruises and the luxury Regent Seven Seas Cruises. Norwegian’s stock is down around 4% year to date as of Friday, after falling roughly 13% in 2025. The Miami-based company has lagged behind competitors including Royal Caribbean (RCL) and Carnival (CCL). Norwegian shares are among the worst-performing in the S&P 500 over the past five years, with the stock remaining near Covid-era levels, despite consumer demand recovering since the pandemic. Elliott believes Norwegian could make changes to catch up to its rivals, the people familiar with the matter said. For example, Norwegian’s peers have had success bringing in new customers to cruises through their private islands. Norwegian owns Great Stirrup Cay in the Bahamas, one of the biggest private islands in the industry, but industry-watchers say its development plans have been slow-going. Elliott has been privately working with Adam Goldstein, the former president and chief operating officer of Royal Caribbean, as one potential board nominee at Norwegian, the people familiar with the matter said. A deadline for shareholders to nominate director candidates ahead of Norwegian’s annual meeting closes next month. A spokesperson for Norwegian said in a statement: “Our board of directors and management team regularly engage with our shareholders to hear their views on our strategy and progress, and we appreciate their perspectives. Of note, this is the first we are hearing from Elliott Investment Management.” Elliott’s focus is on simultaneously improving Norwegian’s financial performance and the guest experience, the people familiar with the matter said. The investment firm believes Royal Caribbean has been successful at addressing both, and that Norwegian has achieved a successful turnaround in the past as well, the people added. Late last Thursday, Norwegian announced that its Chief Executive Officer Harry Sommer was stepping down, effective immediately. He was succeeded by John Chidsey, the former CEO of Subway Restaurants. (Chidsey served on Norwegian’s board from 2013 to 2022, and rejoined a year ago.) Norwegian shares tumbled more than 7% Friday after the news. “What might confuse investors is Norwegian is being run by someone with zero ties to the cruise industry,” analysts at Stifel (SF) wrote in a note to clients. Norwegian said Chidsey has a record of “leading large global consumer-facing companies through strategic and operational transformation.” The company also has said it is focused on growing its fleet of ships and keeping spending in check. Elliott has over $79 billion in assets under management, and has been behind many of the biggest and most high-profile activist campaigns. In 2024, the firm built a significant stake in Southwest Airlines (LUV) and pushed for changes, with shares up around 90% since it first showed up. Last year, Elliott also won board seats after a fight at oil refiner Phillips 66 (PSX).

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2/17/2026

Jana Partners Builds Stake in Payments Business Fiserv

Wall Street Journal (02/17/26) Thomas, Lauren

Jana Partners has built a stake in Fiserv (FISV) and is pushing for changes to boost the payments company’s underperforming stock, according to people familiar with the matter. Fiserv, which provides fintech services to banks, credit unions and merchants, had a market value of about $32 billion as of Friday. Fiserv shares tumbled almost 70% last year on slowing growth in its core merchant-solutions business and heightened industry competition. Year-to-date, the stock is down over 11%. Much of the drop last year came after Chief Executive Officer Mike Lyons joined and cut prior profit forecasts to reset earnings growth expectations on Wall Street, with the company losing around $30 billion of market value in one day. Jana has been speaking privately with the Milwaukee-based company about ways to improve its share price, the people said. The investment firm believes Fiserv is poised to benefit from a strong spending environment for banks, the people said. Jana supports Lyons and his focus on improving execution and refreshing the board, the people added. Lyons was appointed to the role in May from his prior job at PNC Financial (PNC). (Fiserv's former CEO, Frank Bisignano, left to join the Trump administration.) The exact size of Jana's stake and whether or not the firm could seek board representation couldn't be learned. “During the past several months, we have engaged with many of our shareholders, including Jana Partners,” a spokesperson for Fiserv said in a statement. “We value shareholder perspectives as we drive progress through our One Fiserv action plan.” Jana is joining with at least one banking industry executive with dealmaking experience on its investment, the people familiar with the matter said. Jana wants Fiserv to accelerate growth of its core banking franchise and conduct a strategic review to exit nonstrategic assets, the people said. Jana isn’t expected to push for a separation of Fiserv’s payments business from its financial-technology business, a strategy that the firm successfully lobbied for at Fidelity National Information Services (FIS) in 2022, the people added. Lyons recently announced fresh strategic initiatives, including its One Fiserv plan, which is focused on winning new enterprise clients and longer-term capital planning. Jana supports the One Fiserv plan, the people familiar with the matter said. Late last year, Fiserv hired a new chief financial officer and appointed two co-presidents for the company’s main business segments. It also recently added three new independent directors to its board. Jana has recently pushed for changes at medical-device maker Cooper Cos. (COO) and the big holding company Markel Group (MKL), both of which are in the process of conducting their own strategic reviews. It recently called on digital banking platform provider Alkami Technology (ALKT) to explore a sale.

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2/17/2026

Starboard Dials Up Pressure on Tripadvisor With Push for Board Shake-Up

Wall Street Journal (02/17/26) Glickman, Ben

Starboard Value plans to push for a shake-up of Tripadvisor’s (TRIP) board, stepping up pressure on management after taking a stake in the travel site operator last year. The investment firm run by Jeff Smith intends to nominate a majority slate on Tripadvisor’s eight-person board, according to a letter the firm released Tuesday morning. The Wall Street Journal earlier reported on Starboard’s plans. Starboard’s stake now represents more than 9% of the company, according to the letter. Tripadvisor’s namesake brand allows users to search and review hotels and other travel experiences. It also owns Viator, which lets users book tours and activities, and TheFork, a restaurant reservation tool. Tripadvisor has a market capitalization of about $1.1 billion after the stock fell nearly 46% in the past year. The Journal reported in July that Starboard had built a stake valued at the time at about $160 million. The firm has publicly agitated in recent months for Tripadvisor to explore a sale of TheFork, and to consider selling itself. Starboard has also argued the company should boost profitability at Viator and the namesake brand. Tripadvisor’s shares tumbled last week after its fourth-quarter results missed Wall Street’s expectations. The company’s stock had already been pressured by investor fears that advances in artificial intelligence would hit software businesses especially hard. It is relatively rare for investors to seek the majority of seats on boards. Starboard about a decade ago led a successful shareholder coup at Olive Garden owner Darden Restaurants (DRI) and kicked off a turnaround.

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2/17/2026

Warner Bros. Discovery Restarts Deal Talks With Paramount

New York Times (02/17/26) Hirsch, Lauren

Warner Bros. Discovery (WBD) said on Tuesday that it would restart the deal talks with Paramount Skydance (PSKY) that it ended in December, giving the company another chance at besting Netflix (NFLX) for a deal. Paramount will have until Feb. 23 to negotiate its best and final offer. Warner Bros. Discovery last year rejected Paramount’s offer to buy the entire company for $108 billion in favor of a deal to sell only its streaming and studios business to Netflix for $83 billion. Warner Bros. Discovery said at the time that Netflix offered the better deal for shareholders. Paramount disagreed and quickly made its case to shareholders through a hostile bid. In the roughly two months since then, Paramount has amended its offer twice, each time addressing some of the concerns that Warner Bros. Discovery’s board had raised. Paramount’s chief executive, David Ellison, has also raised questions about the Netflix bid, including whether its deal can pass regulatory scrutiny. Some Warner Bros. Discovery investors, including Pentwater Capital Management, have also raised concerns, encouraging the company to restart talks with Paramount. Shares of Warner Bros. Discovery and Paramount Skydance were both up about 3% in premarket trading. To date, Paramount has not publicly raised its offer from $30 a share. But last week, Warner Bros. Discovery said that a senior representative for Paramount had verbally informed a company board member that, if the board authorized talks with Paramount, it would agree to pay $31 a share. In that conversation, the Paramount representative added that it would be willing to further improve its offer. “It’s about time the actual headline price bidding heated up in what has to be one of the most inactive corporate bidding wars in history,” Eric Talley, a business professor at Columbia Law School, said. In a letter to the Paramount board on Tuesday, David Zaslav, the chief executive of Warner Bros. Discovery, and Samuel A. DiPiazza Jr., chairman of the company, said: “We welcome the opportunity to engage with you and expeditiously determine whether PSKY can deliver an actionable, binding proposal that provides superior value.” In Paramount’s latest offer, it agreed to pay the $2.8 billion fee Warner Bros. Discovery would owe to Netflix if their agreement were terminated, as well as agreeing to back Warner Bros. Discovery’s debt costs. Paramount also said it would pay Warner Bros. Discovery’s shareholders around $650 million in cash, starting in 2027, for each quarter that the deal did not close. Warner Bros. Discovery said Tuesday that it had requested a number of clarifications about Paramount’s latest proposal. Among them were concerns about the extent of Paramount’s support for Warner Bros. Discovery’s debt costs and the conditions under which Paramount could legally walk away from a deal. It also wanted assurances that Paramount would be willing to contribute more equity if its debt financing fell apart. According to the terms of Warner Bros. Discovery’s contract with Netflix, it can engage in talks with a rival bidder if it thinks it can lead to a “reasonably superior offer.” Warner Bros. Discovery said in its letter on Tuesday that it did not yet think that Paramount’s offer met that bar — but that Netflix had given Warner Bros. Discovery a seven-day waiver to see if it could clarify its concerns. “Throughout the robust and highly competitive strategic review process, Netflix has consistently taken a constructive, responsive approach with WBD, in stark contrast to Paramount Skydance,” Netflix said in a statement released on Tuesday. “While we are confident that our transaction provides superior value and certainty, we recognize the ongoing distraction for WBD stockholders and the broader entertainment industry caused by PSKY’s antics.” If Paramount makes a superior offer, Netflix has the right to improve its own bid. Shares of Netflix have been under pressure since it announced the deal in December, falling about 15% this year. Its stock rose 1.5% in premarket trading. Discovery said on Tuesday that it had scheduled a shareholder vote on Netflix's offer for March 20.

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2/16/2026

Palliser Capital Takes Stake in Toilet Firm Toto in AI Play

Bloomberg (02/16/26) French, Alice

Palliser Capital has taken a stake in Japanese washlet maker Toto Ltd. (OTCMKTS: TOTDY) and is pushing the firm to ramp up promotion of its little-known chip parts business in a bid to unlock value from the AI boom. The UK-based fund sent a letter to Toto’s board last week calling for more disclosure about its advanced ceramics segment, according to documents obtained by Bloomberg. The segment produces electrostatic chucks used in NAND manufacturing, and Palliser views the toilet maker as “the most undervalued and overlooked AI memory beneficiary,” the documents show. A representative for Toto declined to comment. Insatiable demand for AI infrastructure has sent memory prices skyrocketing in recent months, boosting shares of chipmakers like Kioxia Holdings Corp. (OTCMKTS: KXIAY) to record highs. Toto has missed out on much of that upside due to the company's “lack of transparency” on its chuck business, according to the documents. Toto shares extended gains to rise as much as 5.9% to their highest since 2021 on Tuesday following Bloomberg's report. Palliser’s campaign comes after Toto’s shares gained 10% in a single day last month following a rating upgrade from Goldman Sachs (GS) analysts, who highlighted profit growth potential from the company’s chuck-making business. Palliser, which is currently among Toto’s top-20 shareholders, believes the company can unlock a further 55% upside on its share price by increasing awareness of its chip materials segment and boosting capital efficiency, according to the documents. Toto, which is known for its heated toilet seats, has seen its shares fall around 17% over the past five years, in contrast to the 93% gain in Japan’s Topix index. Multi-strategy fund Palliser has been a key player in Japan’s ongoing investor activism boom, taking stakes in firms like Keisei Electric Railway Co. (TYO: 9009) and Japan Post Holdings Co. (OTCMKTS: JPPHY) in recent years. The fund was founded by James Smith, a former executive at Elliott Investment Management, in 2021.

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2/16/2026

Third Point Builds Indra Stake, Urges Board to Pursue M&A

Bloomberg (02/16/26) Orihuela, Rodrigo; Lizarraga, Clara

Third Point LLC has taken a stake in Spanish technology and defense company Indra Sistemas SA (OTCMKTS: ISMAY) and is throwing its support behind Chairman Ángel Escribano’s plan to buy a smaller rival. The investor has built a significant interest in Indra, according to a letter sent to the company’s board that has been reviewed by Bloomberg News. It did not reveal the size of the holding. Third Point Chief Executive Officer Dan Loeb wrote that his firm supported an acquisition of Escribano Mechanical & Engineering to create a Spanish defense champion. “We believe a combination of Indra Sistemas and EM&E is clearly value-enhancing and aligned with the interests of all stakeholders, including shareholders, employees, customers, and the Spanish state,” Loeb wrote. Indra’s shares rose as much as 6.6% in Madrid on Monday. The stock has now jumped more that 200% over the last 12 months, giving the company a market value of about €9.5 billion ($11.3 billion). Under Spanish law, investors must disclose stakes in listed companies that reach or exceed 3% of voting rights. Third Point’s intervention comes amid growing tension among Indra shareholders over the potential acquisition of EM&E, which is owned by Escribano and his brother Javier. On Feb. 5, Ángel Escribano denied news reports that the government — Indra’s top shareholder with 28% — had asked him to step down due to concerns over conflict of interest. Indra subsequently published a statement saying it was still analyzing the possible deal for EM&E. “Although press reports have raised questions regarding potential conflicts of interest related to this transaction, our analysis leads us to the opposite conclusion,” Loeb wrote. “The creation of a national defense champion would position Spain at the forefront of European defense.” The Escribanos are Indra’s second largest shareholders with about 14%, according to the company’s website. Sapa Placencia SL, another defense company, owns around 8%, and London-based hedge fund Amber Capital holds roughly 7%, the website shows. Like its European peers, Indra is benefiting from a historic rearmament that’s underway as the region looks to reduce its reliance on U.S. military hardware. In his letter, Loeb wrote that delaying a deal with EM&E “would risk value erosion, operational distraction, and the potential loss of a once-in-a-generation opportunity to build a globally relevant Spanish defense leader at a moment when demand, funding, and political support are uniquely aligned.” In a separate interview, Loeb said: “Does Spain want its own Rheinmetall, its own Lockheed Martin (LMT), its own General Dynamics (GD)? It doesn’t have that right now and Indra can be its national champion. It’s good for Europe and the EU to have more domestic leaders in defense.” The letter was also addressed to Sepi, the Spanish government holding company that manages the Indra stake. Spokespeople for Indra and Sepi declined to comment. Ángel Escribano was an Indra board member when he was named chairman in January 2025, after his predecessor moved to run another company.

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