- Medley Capital (MCC) files an investor presentation and letter from its lead independent director defending the special committee's recommendation that the MCC board decline to pursue the unsolicited proposal from NexPoint Advisors, an affiliate of Highland Capital Management Fund Advisors.
- In the letter the special committee chairman urges ISS to revert to its original recommendation to shareholders to vote in favor of MCC's proposed mergers with Sierra Income and Medley Management (NYSE:MDLY).
- It says that the combined MCC/Sierra/MDLY will save on management fees, will "hopefully realize a market uplift as an internally managed BDC," and will benefit from the cash flow and growth potential of MDLY's asset management business.
- The committee considers the NexPoint proposed payment as significantly below market and wouldn't offset the benefits to the MDLY merger.
- Previously: Medley, Sierra Income merger meetings to reconvene March 8 (Feb. 8)