Nobody paying attention to the fight with Starboard or what?
Tessera Gratified That Starboard Admits Direct Conflict of Interest
Starboard's phoney BOD slate exposed:
Starboard Reveals Details of its Plan to Convert Tessera into a “Patent Troll”
Tessera’s Plan Is Superior, Already Being Executed and Showing Progress
SAN JOSE, Calif.--(BUSINESS WIRE)--
Tessera Technologies, Inc. (TSRA) ("Tessera" or the "Company") today issued a statement in response to Starboard Value LP’s (“Starboard”) open letter to Tessera stockholders in connection with the Company’s 2013 Annual Meeting scheduled on May 23, 2013. The Company urges stockholders to not be misled by Starboard’s misinformation campaign and to vote FOR the Tessera nominees on the GOLD card in order to protect the value of their investment.
“We are gratified that Starboard has finally admitted in today’s letter that Unwired Planet (“UPIP”), whose board is led by Starboard nominee Peter Feld, is a direct competitor of Tessera’s,” said Richard S. Hill, interim CEO and executive chairman of Tessera. “Tessera’s Board strongly believes that this conflict of interest disqualifies Mr. Feld as a potential director of the Company. Mr. Feld is clearly grasping at straws with his endless misguided rhetoric on matters that have been addressed already and frankly don’t merit further comment. However, Starboard’s letter does make clear that – should it take control of the Tessera Board – Starboard intends to convert Tessera into a ‘patent troll’ in the model of UPIP. Mr. Feld’s abysmal track record as Chairman of UPIP should cause grave concern among Tessera’s stockholders about this strategy. Since Mr. Feld became chairman of UPIP, its revenues have plummeted to almost nothing, and the stock has significantly underperformed both its peer group and the broader market. We strongly believe that converting Tessera to the UPIP business model – as Starboard’s letter has made clear its intention – would destroy value for Tessera stockholders.
Private equity funds give me hives, so with the slightest excuse to stay with entrenched management [and that's about all we have] I'm inclined to stay. If I understand right, the latest maneuver means that neither side can get a TOTAL victory [suggesting that Blackboard, what I call the incumbents because of their tendency to hide information, is running VERY scared]. The slanging match is fun, but it's gotten too fast to summarize.
You KNOW that this is about recognition that Tessera was worth more in little pieces than the stock price when the fight heated up, and both sides thinking that they could give small holders enough to keep us quiet while pocketing the bulk of the liquidation premium personally. An entrenched board has to generate more cover while performing such a looting exercise (possibly why they went so totally black).
I suspect that Starboard has directed attention to "The Man Behind the Curtain" in pointing out the futility of Invensas to date. It's quite possible that Blackboard and cronies have been managing negotiations/legal maneuvers toward a sudden flood of licenses, an ideal situation for having a lot of money stick to the people managing its flow (for instance, by a management LBO--I'd certainly consider acquiring a stink for a couple hundred millions). I don't for a second think that Starboard have different intentions, though.
"You KNOW that this is about recognition that Tessera was worth more in little pieces than the stock price when the fight heated up, and both sides thinking that they could give small holders enough to keep us quiet "
They don't give a rat's patootie about us retailers - 'tutes own 95% of the float.