Fresh from winning three boards seats a week ago, Senator Investment Group and Cannae Holdings delivered a written request to CoreLogic Monday, asking the company to set a record date for a potential solicitation of written consents to replace six additional directors.
The activists made the threat to ensure the financial services company pursues a “legitimate sales process,” according to a press release. Senator and Cannae have criticized the company for not committing to a formal exploration of a sale.
Senator and Cannae believe they could complete the written consent and be in position to replace six more directors by December.
“We are hopeful that CoreLogic’s board will heed the clear mandate shareholders expressed at the November 17 special meeting of stockholders and engage in good faith with all bidders to maximize value,” said in a statement. “However, given the recent track record of the company, we believe it is necessary for shareholders to have a safeguard in place.”
The activists were seeking to replace nine of the 12 directors at the general meeting, but only won three seats. In September they advanced a revised $66 per share takeover proposal but CoreLogic rejected it and later disclosed that it was holding discussions with other parties for a deal at $80 per share.
In a hint that the activists will not participate in a bidding war, the pair said they planned to reduce their 15% stake in CoreLogic but would remain one of the largest owners until the announcement of a transaction.
CoreLogic shares fell 3.5% in afterhours trading Monday to $75.50.