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Blackwells Capital, which owns ~2% stake in Colony Capital (NYSE:CLNY), calls on the REIT's board to remove CEO and Chairman Thomas J. Barrack after the decline in shareholder equity value since the company's merger with NorthStar entities in January 2017.
Blackwells also points to a more than 80% decrease in share price since Colony's April 2015 internalization.
“Colony shareholders have endured ‘short-term pain,’ as Mr. Barrack calls it, continuously for five years as Colony has destroyed nearly $7B in shareholder equity,” said Blackwells Chief Investment Officer Jason Aintabi.
Blackwells also calls for the board to return capital to shareholders through a stock buyback, cut costs, replace its directors, impose a moratorium on related-party transactions, and start an independent investigation of the company's transactions and operations, among other actions.
Previously, Blackwells said it will nominate five candidates for Colony's board at the upcoming 2020 annual meeting.
Blackwells also points to a more than 80% decrease in share price since Colony's April 2015 internalization.
“Colony shareholders have endured ‘short-term pain,’ as Mr. Barrack calls it, continuously for five years as Colony has destroyed nearly $7B in shareholder equity,” said Blackwells Chief Investment Officer Jason Aintabi.
Blackwells also calls for the board to return capital to shareholders through a stock buyback, cut costs, replace its directors, impose a moratorium on related-party transactions, and start an independent investigation of the company's transactions and operations, among other actions.
Previously, Blackwells said it will nominate five candidates for Colony's board at the upcoming 2020 annual meeting.