And Acxiom sez .. | Arkansas Blog

Wednesday, June 21, 2006

And Acxiom sez ..

Posted By on Wed, Jun 21, 2006 at 6:44 PM

Just now we finally checked e-mail on a busy day (thus the spate of thises and thats.) Among them, is Acxiom dissing raider Jeffrey Ubben, whose talk of a tender offer for the company we mentioned this AM. Acxiom news release on the jump.


Once again ValueAct has issued a news release with some glaring omissions – there is absolutely no mention of Acxiom’s record revenue, record profit and record cash flow, or that Acxiom has enjoyed the best six months in the company’s history, or that all our trend lines are positive.


ValueAct says it intends to offer $25 a share at a “premium,” which does not seem to offer much of a premium given that the average closing price for Acxiom stock since January 1 has been $24.77.


Jeffrey Ubben has been quoted saying that in the right hands Acxiom could be worth $40 a share.  We do not disagree, but we strongly believe that our current members of Acxiom’s leadership – through their vision, direction and proven results – are indeed those “right hands.”


Mr. Ubben continues to say he has a plan for Acxiom, yet he has only offered broad statements and generalities.  His remarks have been void of detail.  He has never discussed how his plans would benefit our clients.  He has never discussed how Acxiom would maintain its industry leadership and competitive edge.  He has never discussed why he believes some of his ideas – such as spinning off our fast-growing outsourcing business, or converting Acxiom to a private company – could successfully be achieved without very risky disruptions, profit erosion and defection of clients who continually tell us that they depend on Acxiom’s innovation and investments to create long-term value in their own businesses. 

ValueAct’s decision to make such an offer today suggests that their ideas are not getting traction in the investment community, so they have to pursue an alternative strategy for fear of losing the proxy vote.  The tepid response in the market today also suggests that investors don’t have a lot of confidence in their ideas.


Comments (7)

Showing 1-7 of 7

Add a comment

Subscribe to this thread:
Showing 1-7 of 7

Add a comment

More by Max Brantley

  • One dead, two wounded in early morning shooting

    KARK's Susanne Brunner reports that one person has been killed and two wounded in a shooting shortly after 1 a.m. this morning near Roosevelt Road and Cross Street.
    • Apr 17, 2019
  • Reality bites at Little Rock City Hall; spending must be cut

    A followup to Rebekah Hall's earlier report on Little Rock Mayor Frank Scott Jr.'s announcement that cuts will be necessary in the city budget in part to pay for "priorities," such as his desire to expand the police force, but also to deal with the reality often mentioned here of stagnant to decling city sales tax revenue. Some quick ideas on that:
    • Apr 17, 2019
  • Speaking of hard times in newspapers: Democrat-Gazette's move to digital

    Word continues to filter in of the Arkansas Democrat-Gazette's pullback from statewide circulation of a print daily edition of the newspaper — the latest from the Hot Springs area, just 50 or so miles down the road from Little Rock. Subscribers there were told home delivery of a print paper would end in May.
    • Apr 16, 2019
  • More »

Readers also liked…

Most Recent Comments


© 2019 Arkansas Times | 201 East Markham, Suite 200, Little Rock, AR 72201
Powered by Foundation