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CORRECTED-Elliott Management seeks changes at Alexion - NYT (Dec. 7)
December 8, 2017 / 2:37 AM / 5 days ago

CORRECTED-Elliott Management seeks changes at Alexion - NYT (Dec. 7)

(Corrects spelling to “Elliott” from “Elliot” thoughout in text)

Dec 7 (Reuters) - U.S. hedge fund Elliott Management, which has built a stake in Alexion Pharmaceuticals, is urging the company to take more action to boost its stock price, including exploring a sale, the New York Times reported on Thursday.

If Alexion failed to offer more aggressive financial performance guidance or consider strategic alternatives such as a sale, Elliott could start a proxy fight to claim board seats, the paper reported, citing people who were not authorized to speak publicly. nyti.ms/2jqV1sG

In a recent meeting between Alexion and Elliott, the hedge fund sought to have more biotech experts as directors and suggested four potential candidates, the newspaper said.

Elliott started investing in Alexion in April and has warned the company against ambitious acquisitions beyond its core expertise, according to the report.

Elliott has set an end-December deadline for the board changes, the report added.

In September, Alexion said it would lay off about 20 percent of its workforce.

The company has been hit by a sales-practices scandal related to Soliris, its pricey rare-disease treatment, as well as an exodus of top management including its chief executive and chief financial officers who left late last year.

Alexion did not respond to requests for comment outside regular business hours. Elliott could not immediately be reached for comment. (Reporting by Kanishka Singh in Bengaluru; Editing by Gopakumar Warrier)

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