Why Huntsman Shares Are Down Today
Starboard Value LP failed in its attempt to overhaul the board of Huntsman (NYSE: HUN), a setback in the activist investor's campaign to shake up the chemicals maker. Shares of Huntsman are down more than 10% midday Friday as investors try to figure out what comes next.
Starboard, which owns 8.8% of Huntsman shares, had nominated four candidates to the company's board as part of a campaign that argued that additional oversight was needed after years of underperformance. Huntsman shares have trailed the S&P 500 performance by more than 30 percentage points over the past five years. Starboard's campaign got a boost prior to the vote when advisory service Egan-Jones Proxy Services recommended Huntsman shareholders support the activist, but it wasn't enough to replace the board.
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Source Fool.com