In September 2020, Citigroup announced that it had selected Jane Fraser to succeed Michael Corbat as the megabank’s CEO.1 Ms. Fraser, the first woman to lead a major U.S. bank, is a Harvard Business School graduate and former McKinsey & Company partner who has held leadership roles in Citi’s client strategy, strategy and M&A, private…
Tag: Shareholder Activism
Escaping Shareholder Primacy – Without Waiting for Congress
Introduction In a statement with the Business Roundtable (BRT), 181 major American CEOs recently proclaimed their desire to serve a variety of stakeholder interests beyond merely those of shareholders.1 However, stakeholder maximization is nearly impossible today for public corporations due to the rise of activist hedge funds; such funds, which exercise unprecedented control over public…
The First Proxy Fight against a U.S.-Listed Chinese Company: Hedge Fund Lost the Proxy Fight Against Sina
Sina, a NASDAQ-listed corporation and one of the largest telecom companies in China, was recently faced with a proxy contest. This proxy fight was initiated by Aristeia Capital LLC, a Connecticut-based hedge fund which owns 3.19% of Sina’s shares and is one of the biggest Sina shareholders.1 As the campaign between Sina and Aristeia is…