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UPDATE 1-Icahn steps up attack on Forest Labs
July 2, 2012 / 6:21 PM / 5 years ago

UPDATE 1-Icahn steps up attack on Forest Labs

July 2 (Reuters) - Activist investor Carl Icahn said on Monday he intends to look into disclosures that Forest Laboratories Inc CEO Howard Solomon made before selling stock in the U.S. drugmaker over the years, launching the latest salvo in his proxy fight against the company.

In a letter to Solomon, Icahn said the company’s long-time CEO had sold more than $500 million worth of Forest stock several years ago “at prices substantially higher than today’s price.”

“Those sales now look to me like a savvy bet against the prospects of a company that was not prepared to meet the calamitous events that would befall it several years in the future when Lexapro went off patent,” Icahn said.

Icahn has said he will nominate four people to the company’s board, restarting a proxy fight that he lost last year.

“I hope you will avoid a contentious and costly proxy fight and give your second largest shareholder board seats,” he wrote in the letter.

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