From this week’s Hedge Fund Solutions Catalyst Equity Research Report, we are highlighting their update on the Shamrock Activist Value Fund’s involvement with Mobile Mini Inc (NASDAQ: MINI). The activist hedge fund, which is managed by Shamrock Capital Advisors, currently holds 2,785,317 shares in MINI, accounting for 7.85% of the company’s shares outstanding.
Investment Catalyst: Shamrock has increased its ownership in MINI from 6.35% to 7.85% over the past week.
Research Comment: Hedge Fund Solutions previously covered MINI in their September 18 Catalyst Research Report, highlighting Shamrock’s September 14 announcement that in order for MINI to increase long-term value, the Company should, among other things: improve its capital allocation process; concentrate on its core businesses; review strategic alternatives for improving return on invested capital; increase transparency in its public disclosure; strengthen the link between executive compensation and the Company’s performance; and enhance its corporate governance by, among other things, (1) declassifying the board of directors, (2) implementing a majority voting standard for uncontested director elections, (3) allowing the Company’s “poison pill” shareholder rights plan to expire (without renewal or replacement) on its stated expiration date of December 30, 2009 and providing that no future “poison pill” will be implemented without shareholder approval, (4) providing shareholders with the right to call a special meeting and (5) adopting an annual shareholder advisory vote on executive compensation.
The Reporting Persons also believe that the Company would benefit from the addition of new members to the board of directors, especially those proposed by the Company’s larger shareholders - including Shamrock.
Hedge Fund Solutions (HFS) is a Philadelphia-based investment research and strategy consulting firm focused on providing substantive solutions on issues relating to shareholder activism. The Firm has an unparalleled depth of knowledge on activist investing and has become the trusted advisers to numerous institutional investors, CEOs and board members worldwide. For more information on Hedge Fund Solutions or to sign-up for their Catalyst Equity Research Reports, please click here.
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