Oshkosh Plans Response to Icahn Tender Offer

OSHKOSH, Wis. (AP) --€” Truck maker Oshkosh (NYSE: OSK  ) said Monday that it will respond to billionaire investor Carl Icahn's tender offer for its shares, before the end of October.

The company advised shareholders to take no action on Icahn's offer to buy their stock for $32.50 per share. Icahn launched his offer on Oct. 17, and Oshkosh said it will respond within 10 business days from that date.

In a letter to shareholders that was filed on Monday with the Securities and Exchange Commission, Icahn said Oshkosh needs new management and a new strategy. He said shares of Oshkosh have lost about two-thirds of their value since Charles Szews became president and chief operating officer in October 2007. Szews has been the company's president and CEO since January 2011.

"I have completely lost confidence in the management team led by Charlie Szews," Icahn wrote.

On Oct. 11 Icahn said he planned to make an unsolicited bid that valued Oshkosh at almost $3 billion, and also planned to nominate a competing slate of directors in a bid for control of the company. Icahn is the largest stakeholder in Oshkosh and also nominated his own directors to the board in 2011.

Shares of Oshkosh rose 6 cents to $29.70 in afternoon trading. The stock is up 10.4 percent since Oct. 11.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

DocumentId: 2069149, ~/Articles/ArticleHandler.aspx, 4/19/2014 9:00:23 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement