Colony Capital investor renews call to oust CEO

Mar. 05, 2020 7:39 AM ETDigitalBridge Group, Inc. (DBRG)DBRGBy: Liz Kiesche, SA News Editor9 Comments
  • Blackwells Capital, which owns ~2% stake in Colony Capital (NYSE:CLNY), calls on the REIT's board to remove CEO and Chairman Thomas J. Barrack after the decline in shareholder equity value since the company's merger with NorthStar entities in January 2017.
  • Blackwells also points to a more than 80% decrease in share price since Colony's April 2015 internalization.
  • “Colony shareholders have endured ‘short-term pain,’ as Mr. Barrack calls it, continuously for five years as Colony has destroyed nearly $7B in shareholder equity,” said Blackwells Chief Investment Officer Jason Aintabi.
  • Blackwells also calls for the board to return capital to shareholders through a stock buyback, cut costs, replace its directors, impose a moratorium on related-party transactions, and start an independent investigation of the company's transactions and operations, among other actions.
  • Previously, Blackwells said it will nominate five candidates for Colony's board at the upcoming 2020 annual meeting.
  • Previously: Colony Credit shareholder calls for changes (Feb. 27)

Recommended For You

Comments (9)

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.