MONTREAL, April 25, 2019 (GLOBE NEWSWIRE) -- Knight Therapeutics Inc. (TSX: GUD) ("Knight"), a Canadian specialty pharmaceutical company, today announced that leading independent proxy advisory firm Institutional Shareholder Services Inc. ("ISS") has joined equity analysts and a growing number of key shareholders who are voicing their support for Jonathan Goodman and his team of experienced and qualified director nominees ahead of the upcoming 2019 Annual Meeting of Shareholders on May 7, 2019.
In its report, ISS states that Mr. Jakobsohn “has failed to make a compelling case for board control” and that his “go-forward plan” may expose Knight to significant risks.
“Jakobsohn's agenda carries significant risk and does not appear to be aligned with the company's original strategy, and thus may not be aligned with shareholder expectations,” noted the report. “The emergence of his campaign after an apparently uneventful three-year relationship between the two companies also raises concerns about his potential motivation – an issue that is compounded by the lack of public disclosure regarding Medison's financials.
They added that “Given the lack of disclosure around Medison’s financials, the board’s concern that [Mr. Jakobsohn] may be seeking to use Knight’s funds to support Medison does not appear unfounded.”
ISS also rebuffed Mr. Jakobsohn’s baseless conflict of interest allegations against Mr. Goodman and his related shareholder proposal.”
“The company has already established structures and policies for managing conflicts of interest that are in line with Canadian market practice,” noted the report.
In addition, more analysts continue to weigh in in support of Jonathan Goodman and the current direction of Knight, warning shareholders of the risks associated with Meir Jakobsohn and his approach. Most recently, Bloom Burton Securities Inc. has joined the list by stating:
Bloom Burton adds to the unanimous view from analysts that Knight is on the right path and change is not warranted:
|Raymond James||David Novak|
|BLUE||“A vote for Knight’s recommended director nominees is in the best interests of stakeholders”|
|Paradigm Capital||Rahul Sarugaser|
|BLUE||“Mr. Goodman and his team remain the best stewards of GUD and its ~$800M in cash”|
|GMP Securities||Justin Keywood|
|BLUE||“Knight is already on the right path”|
|Bloom Burton Securities||David Martin|
|BLUE||“Shareholders of Knight face a better risk/reward with current management’s plan”|
|National Bank||Endri Leno|
|BLUE||“Activist proposal lacks a management team”|
“ISS and analysts are validating what we have been hearing loud and clear from shareholders: Knight is on the right track and benefits from the leadership of the current experienced and qualified directors who have track records of building successful companies,” said Knight CEO Jonathan Goodman. “No one wants a Knight controlled by Meir Jakobsohn, his nominees who have no entrepreneurial pharma experience, and that will pursue his risky scheme to gamble with Knight’s cash.”
GROWING NUMBER OF SHAREHOLDERS ANNOUNCING PUBLIC SUPPORT FOR JONATHAN
Illustrative of the growing momentum for Jonathan Goodman and his team, key shareholders are also coming forward with public statements of support.
“We the undersigned shareholders of Knight Therapeutics… are in full support of Knight’s current leadership.”
Philippe Côté, M.Sc., CFA
Vice President and Portfolio Manager
Eterna Investment Management
“We will be voting on the BLUE proxy for management’s director nominees at the 2019 Annual Meeting on May 7. We will not be voting for Meir Jakobsohn. We advise fellow shareholders to join with us.”
Carl Simard, President
Gestion de portefeuille stratégique Medici
PROTECT YOUR INVESTMENT - VOTE YOUR BLUE PROXY TODAY
Don’t risk your Knight investment to Meir Jakobsohn, his risky scheme and inexperienced director nominees.
We encourage shareholders vote the BLUE Proxy or Voting Instruction Form (VIF) FOR the Knight board nominees who are aligned with their interests and the original vision of Knight.
The deadline to vote is Friday, May 3, 2019 at 5:00 p.m. (EST). Shareholders with questions regarding voting the BLUE Proxy or VIF should visit Knight’s website or contact Knight's strategic shareholder advisor and proxy solicitation agent, Kingsdale Advisors, who can be reached by toll-free telephone in North America at 1-888-518-1552, by collect call outside North America at 416-867-2272, or by email at firstname.lastname@example.org.
Knight has retained Kingsdale Advisors as its strategic shareholder and communications advisor, Davies Ward Phillips & Vineberg LLP as its legal advisor, and RBC Capital Markets as its financial advisor.
About Knight Therapeutics Inc.
Knight Therapeutics Inc., headquartered in Montreal, Canada, is a specialty pharmaceutical company focused on acquiring or in-licensing and commercializing innovative pharmaceutical products for the Canadian and select international markets. Knight Therapeutics Inc.’s shares trade on TSX under the symbol GUD. For more information about Knight Therapeutics Inc., please visit the company’s web site at www.gud-knight.com or www.sedar.com.
This document contains forward-looking statements for Knight Therapeutics Inc. and its subsidiaries. These forward-looking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. Knight Therapeutics Inc. considers the assumptions on which these forward-looking statements are based to be reasonable at the time they were prepared, but cautions the reader that these assumptions regarding future events, many of which are beyond the control of Knight Therapeutics Inc. and its subsidiaries, may ultimately prove to be incorrect. Factors and risks, which could cause actual results to differ materially from current expectations are discussed in Knight Therapeutics Inc.'s Annual Report and in Knight Therapeutics Inc.'s Annual Information Form for the year ended December 31, 2018. Knight Therapeutics Inc. disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information or future events, except as required by law.
Executive Vice President, Communication Strategy