Suddenly Jack in the Box Is a Hot Activist Investor Target All three of Starboard's new investments are in companies that have other activist investors either quietly accumulating positions or already publicly pushing for changes. ByRonald Orol Nov14,20177:16PMEST Mute Loaded: 0% Progress: 0% Remaining Time-0:49 Fast Casual Dining Deals Roundup Activist investor Jeff Smith and his Starboard Value have new significant positions in Jack in the Box Inc. (JACK-Get Report) , Etsy Inc. (ETSY-Get Report) and Macerich Inc. (MAC-Get Report) , according to the fund's quarterly securities filing issued late Monday. The likelihood that Starboard Value launches an M&A-focused campaign or some other type of insurgency at one of its new investments is pretty high. The New York-based insurgent fund has launched 138 campaigns at 110 different companies since 1999, including a jaw-dropping 62 director-election battles, according to FactSet Inc. All three of the new investments are in companies that have other activist investors either quietly accumulating positions or already publicly pushing for changes. TheStreet's sister publication The Deal in Mayreportedthat Jack in the Box could become an activist target after it announced that itwas exploring optionsfor its Qdoba Restaurant Corp. Mexican restaurant chain. Already insurgents Keith Meister of Corvex Management has accumulated a 1.8% position, about $56 million worth. In addition, the New York Post reported earlier this month that buyout shop Apollo Global Management, owner of Chuck E. Cheese, is close to acquiring the 720-location chain for as much as $500 million. Now, Starboard has accumulated about $18 million worth of Jack shares. Activists often push companies to spin off or sell businesses. They also often push for restaurant chains to franchise more locations, something an activist fund could agitate for at JACK. A move by Jack in the Box not to complete a Qdoba transaction likely would result in a Starboard or Corvex boardroom battle. And on Tuesday, Jana Partners Barry Rosenstein, another prolific employer of boardroom war tactics, reported that he had accumulated a $134 million Jack in the Box position last quarter. To read the rest of this analysis, head on over toThe Deal. https://www.thestreet.com/story/143...itions.html?puc=yahoo&cm_ven=YAHOO&yptr=yahoo
Good lord, Jack-in-the-box is still around? Losing proposition, get out of it or short it. I don't care what their balance sheets say. They have been trying to overcome their problems for 40 years. It is a dead franchise.
I have a friend who owns 3 stores and he makes a great living, he worked for the corp for 10yrs..made $$ off stock options...cheap, unhealthy and fast sells..probably not a good idea to be on the other side of Jana and Apollo.
Jack in the Box franchisees want new leadership Jack in the Box Inc. franchisees hope the company drops CEO Lenny Comma and remakes the upper management team, including hiring a head of marketing. (Ad Age)