Acitivist Icahn Wins Seat on Transocean Board, Fails to Gain Dividend Hike; Shares Off 1.7%


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Activist investor Carl Icahn has succeeded in getting one of his nominees appointed to Transocean's board and voting out its chairman, Michael Talbert, but failed to push through his plans for an annual dividend of $4.00 a share.

The oil services company's shareholders voted instead in favour of a dividend of $2.24.

Icahn Group nominee Samuel Merksamer was elected to the board, while its other candidate Jose Maria Alapont lost by about 1 million votes.

"We believe that the shareholders have today sent an unequivocal and vocal message to the incumbent directors and management, by voting out the Chairman, that immediate discipline must be brought to all fiscal and capital allocation decisions," Icahn said in a statement. "We expect that the newly constituted board will take prompt action to deliver that sorely needed change."

Icahn, the biggest investor in the company, has been pushing for change since January.

The shares are down 1.7% at NEAR $53.80 on above average volume of 5.68 million, double the 30 day average. The 52-week range is $39.32 - $59.50.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2014 All rights reserved. Unauthorized reproduction is strictly prohibited.

This article appears in: Investing , Commodities

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