The Trustee for the RMT Trust, an entity which controls Dover Motorsports (NYSE: DVD) through ownership of supermajority voting class A shares, told Mario Cibelli’s Marathon Partners LP hedge fund that it has no interest in pursuing the fund’s $2.35 per share purchase offer. Marathon Partners LP, which is managed by Cibelli Capital Management, holds a 16.2% stake in Dover and has been engaged in an activist battle with the company’s management since early 2007.
Hedge Fund Solutions Catalyst Equity Research Report covered the deal in early November when Marathon sent its letter to the Trustees of RMT Trust offering to acquire its ownership stake in DVD. Previously, Marathon demanded DVD sell their racetrack assets in the Midwest United States. On March 2 2009 GAMCO Investors (7.7% shareholder) sent a letter to DVD announcing their intention to vote their shares in favor of a proposal submitted by Marathon to eliminate the poison pill. Marathon claims that over 90% of non-insiders voted to remove the company’s poison pill.
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