Crown

Change

Castle

<div class="textg" style="text-align: justify; font-weight: lighter; line-height: 1.3em; font-size: 15px; border-radius: 3px; color: #80909a; padding: 10px; background-color: #F4F6F9; margin-bottom: 15px;">
 Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our&nbsp;<a href="https://tokenist.com/terms-of-service/" style="text-decoration:underline;color:#3c7b7b" target="_blank" rel="noreferrer noopener" class="deco-link">website policy</a>&nbsp;prior to making financial decisions.
</div> 
<p class="has-drop-cap">Crown Castle (NYSE: CCI) shares climbed 3.9% at the market open on Monday after activist investor Elliot Management <a aria-label="confirmed a stake in the company (opens in a new tab)" href="https://www.reuters.com/markets/us/activist-investor-elliott-pushes-changes-crown-castle-2023-11-27/" target="_blank" rel="noreferrer noopener nofollow" class="deco-link">confirmed a stake in the company</a>. The hedge fund issued a letter calling for the ouster of the wireless tower owner’s executives and board members.</p> 
<h3 id="elliot-confirms-2b-stake-in-crown-castle-accuses-management-of-irresponsible-stewardship">Elliot Confirms $2B Stake in Crown Castle, Accuses Management of “Irresponsible Stewardship”</h3> 
<p><a href="https://tokenist.com/how-activist-shareholders-can-benefit-from-new-proxy-voting-rules/" rel="dofollow" class="deco-link">Activist investor</a> Elliot Investment Management confirmed it acquired a stake in Crown Castle. This move represents a part of its broader plan to seek changes at the communications infrastructure provider. Following the news, the company’s shares rose nearly 4% in the premarket.</p> 
<p>After acquiring a stake worth over $2 billion, Elliot wants to initiate talks with Crown Castle over certain changes that will reignite its stock performance. In its letter to the company’s board, Elliot stated the management disregarded its data-driven analysis and failed to introduce the necessary adjustments.&nbsp;</p> 
<blockquote class="wp-block-quote"> 
 <p>“Crown Castle suffers from a profound lack of oversight by the Board, which has contributed to its irresponsible stewardship and flawed financial policy. The Company’s strategy, led by CEO Jay Brown since 2016, has been a failure, as demonstrated by the breathtaking magnitude of its underperformance.”</p> <cite>– Elliot wrote in the letter.</cite>
</blockquote> 
<p>This led to a poor performance in Crown Castle’s shares, which have consistently underperformed its peers over the past 15 years. Last month, the stock fell to a 6-year low before slightly recovering. Still, its year-to-date performance sits at -25%.&nbsp;</p> 
<div class="cta-referral"> 
 <img src="https://tokenist.com/wp-content/themes/thetokenist/assets/img/del/cta-referral-1.png" alt="" class="cta-referral__img" loading="lazy" decoding="async"> 
 <div class="cta-referral__text"> 
  <p>Join our&nbsp;<a href="https://t.me/thetokenist" target="_blank" rel="noreferrer noopener nofollow">Telegram group</a>&nbsp;and never miss a breaking digital asset story.</p> 
 </div> 
</div> 
<h3 id="elliot-calls-for-significant-leadership-change-at-crown-castle">Elliot Calls For Significant Leadership Change at Crown Castle</h3> 
<p>Elliot said Crown Castle outlined specific changes the company must make to stage a turnaround.</p> 
<p>The activist investor called for a new executive and board leadership, an improved inventive plan, an overview of the fiber business, and better corporate governance. It also said it was prepared to appeal to other shareholders to change the 12-member board, signaling a potential proxy fight in 2024.</p> 
<p>The moves represent Elliot’s latest effort to provoke changes at the wireless tower owner. In 2020, the hedge fund <a href="https://www.fiercewireless.com/wireless/elliott-blasts-crown-castle-s-fiber-strategy" target="_blank" aria-label="urged a strategic review (opens in a new tab)" rel="noreferrer noopener nofollow" class="deco-link">urged a strategic review</a> of the company’s fiber business.</p> 
<p>Under current management, “Crown Castle has underperformed its direct peers by an average of 85% in total return,” Elliot said in the letter, amounting to almost “$26 billion of unfulfilled shareholder value.”</p> <iframe src="https://tokenist.substack.com/embed" width="100%" height="320" style="border:1px solid #EEE; background:white;" frameborder="0" scrolling="no"></iframe> 
<p><em><strong>Do you expect Elliot to positively impact Crown Castle’s stock performance? Let us know in the comments below.&nbsp;</strong></em></p> 
<p>The post <a rel="nofollow" href="https://tokenist.com/crown-castle-shares-up-at-market-open-after-activist-investor-vows-to-change-things/">Crown Castle Shares Up at Market Open After Activist Investor Vows to Change Things</a> appeared first on <a rel="nofollow" href="https://tokenist.com">Tokenist</a>.</p>

Crown Castle Shares Up at Market Open After Activist Investor Vows to Change Things

Table of Contents

Tokenist

Other articles published on Nov 27, 2023

Solar in Japan

Can Bitcoin Price Reach $47,000? What Do the Latest On-Chain Data Indicate?

Crypto Exchange Listing and Delisting Announcements: November 27, 2023

dYdX Leads December Because $500M Crypto Token Releases

Cosmos founder pushes to create new chain following governance vote

New Cryptocurrency on the Market: Capturing the Attention of Bitcoin Enthusiasts?

Join our free newsletter for daily crypto updates!