Water Street Capital Nominates Independent Directors to REC Silicon
In pursuit of urgent company transformation, Water Street Capital emphasizes the necessity for independent governance to better enhance shareholder value.
The nominees from Water Street bring extensive industry experience, management acumen, and legal expertise, which are crucial for the company's future success.
Water Street believes that Hanwha’s proposed acquisition drastically undervalues REC Silicon's assets and intellectual properties.
The firm strongly urges shareholders to support its director candidates during the next Annual General Meeting.
Water Street Capital, Inc. ("Water Street"), a long-term value-oriented investment firm that holds 8.26% of REC Silicon ASA's outstanding shares, has revealed its qualified slate of candidates for the REC Silicon Board. The nominations come ahead of the upcoming Annual General Meeting (AGM), where Water Street aims to secure a more independent governance structure for the company.
The investment firm's concerns center around Hanwha Solutions Corporation ("Hanwha"), which is the largest shareholder of REC Silicon. Water Street contests Hanwha's intention to acquire all shares at a significantly low price of NOK 2.20, a figure they deem to undervalue the company by over 90% while ignoring the considerable growth potential in the silane market. Additionally, Water Street has called for a formal investigation into Hanwha's recent actions, including the cancellation of a prior purchase agreement with REC Silicon.
According to Gilchrist Berg, Founder of Water Street Capital, "The current board, influenced largely by Hanwha executives, has failed to adequately represent the interests of REC Silicon and its diverse group of shareholders. This undervaluation undermines the substantial efforts of the company's dedicated employees."
Water Street's nominees, each armed with significant industry credentials, are focused on advocating for all shareholders. Here's a closer look at the candidates being proposed:
Candidate Profiles
Dave Keck: As the President of Advanced Material Solutions, Dave Keck brings a wealth of experience from his prior positions at GT Advanced Technologies, where he excelled as General Manager and CEO. His history with REC’s predecessor, Advanced Silicon Materials, establishes a direct connection to the company's roots in the industry.
Chris Greig, PhD: Holding a prestigious role at Princeton University, Chris Greig combines academic prowess with extensive industry experience, previously serving the sugar and minerals sectors as a managing director and senior executive.
John Adams: Currently a principal at Water Street Capital, John Adams has held various financial roles including COO and analyst. His educational background from the Georgia Institute of Technology and Harvard Business School enhances his strategic insight.
Karina Fossmark: As the founder of Oldermann Law Firm, Karina Fossmark has a robust background in business law, specializing in complex financing frameworks and corporate reorganization.
Jane Power: An independent trader and strategic planner, Jane Power's experiences in the finance and commodities markets, combined with her academic contributions, position her as a valuable voice on the board.
Water Street emphasizes that all REC Silicon shareholders should advocate for these independent nominees in the upcoming AGM to protect the company's autonomy and promote shareholder wealth. Without this shift, the firm warns the serious potential risks to the company’s stability and future potential.
Important AGM Details
The virtual Annual General Meeting of REC Silicon is scheduled for June 25, 2025, at 13:00 CET. Shareholders must log in using provided credentials to participate in this crucial meeting.
Engagement with the investment community is pivotal as REC Silicon navigates through this critical period. Shareholders are encouraged to prepare for the meeting by reviewing relevant materials and understanding the implications of board nominations.
Frequently Asked Questions
What is the main reason for Water Street's director nominations?
Water Street aims to enhance shareholder value and ensure REC Silicon's independence amidst undervalued acquisition proposals.
Who are the nominees proposed by Water Street for the REC Silicon Board?
The nominees include Dave Keck, Chris Greig, PhD, John Adams, Karina Fossmark, and Jane Power, all of whom bring significant experience.
How does Water Street perceive Hanwha's acquisition proposal?
Water Street believes that Hanwha's offer grossly undervalues REC Silicon's assets by more than 90% and lacks recognition of its growth potential.
When will the Annual General Meeting occur?
The AGM is set for June 25, 2025, at 13:00 CET.
What actions does Water Street want from REC Silicon shareholders?
Water Street urges shareholders to vote for its nominated candidates to preserve REC’s independence and enhance overall shareholder value.
