RS FUND LP Calls for Immediate Action and Capital Return in Neurometrix, Inc.
RS FUND LP Calls for Immediate Action and Capital Return in Neurometrix, Inc.
- Stock trades significantly below its net cash per share.
- The board is arguably in breach of their fiduciary responsibility to protect shareholder value. Operating any capital raise at current price is grossly irresponsible and against shareholders best interests.
- The board must immediately cancel their at-the-market program, and begin a process of returning substantial cash to shareholders in order to halt this egregious value destruction.
- 股票的交易價格大大低於其每股淨現金。
- 可以說，董事會違反了保護股東價值的信託責任。以當前價格進行任何籌資活動都是嚴重不負責任的，也違背了股東的最大利益。
- 董事會必須立即取消其上市計劃，並開始向股東返還大量現金，以阻止這種嚴重的價值破壞。
NEW YORK, NY / ACCESSWIRE / March 8, 2024 / On March 4, 2024, Ryan Siegal of RS Fund Management LLC filed a Schedule 13D/A which included a letter to the Board of Directors of Neurometrix, Inc. (NASDAQ:NURO). The letter states that given where the stock is trading and with a review in progress, the Board must exercise their duty and authority to stop raising capital - immediately . This strategy is an indefensible, unjustified, stripping of shareholder value for purposes of paying the CEO, management, and directors: placing their interests ahead of shareholders. Ryan also argues for returning capital immediately, as a first step toward a liquidation: the best option for shareholders.
紐約州紐約/ACCESSWIRE/2024年3月8日/2024年3月4日，RS Fund Management LLC的瑞安·西格爾提交了附表13D/A，其中包括致Neurometrix, Inc.（納斯達克股票代碼：NURO）董事會的信。信中指出，鑑於股票的交易地點以及審查正在進行中，董事會必須行使職責和權力，立即停止籌集資金。這種策略是站不住腳的、不合理的，爲了支付首席執行官、管理層和董事的薪酬，剝奪股東價值：將他們的利益置於股東之上。瑞安還主張立即返還資本，這是清算的第一步：股東的最佳選擇。
The Board of Directors should know better, given that they include:
董事會應該知道得更多，因爲它們包括：
Bradley M. Fluegel: Wharton School, University of Pennsylvania, Lecturer
Bradley M. Fluegel：賓夕法尼亞大學沃頓商學院，講師
David E. Goodman: California MD
大衛 E. 古德曼：加利福尼亞州醫學博士
Nancy E. Katz: 2010 Bayer Senior VP
Nancy E. Katz：2010 年拜耳高級副總裁
David Van Avermaete: 2004 Johnson and Johnson Lifescan President
David Van Avermaete：2004 年強生 Lifescan 總裁
A full copy of the letter can be found below:
這封信的完整副本可以在下面找到：
CONTACT:
聯繫人：
Ryan Siegal
ryan@rsfundmanagement.com
瑞安·西格爾
ryan@rsfundmanagement.com
March 4, 2024
2024年3月4日
To the Board of Directors of NeuroMetrix:
致NeuroMetrix董事會：
As of December 31, 2023, the company, NeuroMetrix had approximately $18.0 million of net cash and approximately 1.5 million shares outstanding, which equates to approximately $12.00 of net cash per share. The stock trades at ~$4.00. The company has a surplus of cash, well beyond operations for the indefinite future (including the conclusion of their strategic review).
截至2023年12月31日，該公司NeuroMetrix擁有約1,800萬美元的淨現金和約150萬股已發行股票，相當於每股淨現金約12.00美元。該股的交易價格約爲4.00美元。該公司的現金盈餘遠遠超出了無限期的運營範圍（包括戰略審查的結論）。
We believe the only correct business decisions are below to advance shareholder value.
我們認爲，提高股東價值是唯一正確的商業決策。
| 1) | Effective Immediately, halt all capital raising, inclusive of at the market offerings: raising capital is a terrible destruction of shareholder value. The company should even consider buying back shares in the open market. |
| 1) | 立即生效，停止所有融資，包括在市場上發行： 籌集資金是對股東價值的嚴重破壞。該公司甚至應該考慮在公開市場上回購股票。 |
| 2) | In the interim, and by the end of March : Return the higher of $7.00 in cash or 70% of net assets while assessing options for the remainder of the company. |
| 2) | 在此期間，以及 到三月底 : 在評估公司其餘部分的期權時，返還7.00美元現金或淨資產的70％中較高者。 |
It is abundantly clear to us that it would be in shareholders' best interests if you were to immediately liquidate the company . As the company, in our view, has no legitimate prospects for positive returns in any of its business lines (and if they did/do, we still think those would be better sold to the highest bidder: for a CVR or inconsequential cash value)
我們非常清楚 如果你立即清算公司，將符合股東的最大利益 。我們認爲，該公司在任何業務領域都沒有獲得正回報的合法前景（如果他們這樣做/確實如此，我們仍然認爲最好將這些業務出售給出價最高的人：以CVR或無關緊要的現金價值出售）
We believe shareholders would overwhelmingly support our suggestion to immediately liquidate, as well as the above two swift actions, and to begin a process of returning all proceeds to shareholders- the clearest way to maximize shareholder value.
我們相信，股東們將壓倒性地支持我們的建議，即立即清算以及上述兩項迅速行動，並開始向股東返還所有收益——這是實現股東價值最大化的最明確途徑。
We hope you will accept our advice and immediately announce an immediate cancellation of capital raising plan, a return of capital or liquidation without us having to take additional public action. If you have any questions, please do not hesitate to contact us.
我們希望您能接受我們的建議並立即宣佈 立即取消籌資計劃、資本返還或清算 我們無需採取額外的公共行動。如果您有任何疑問，請隨時聯繫我們。
Sincerely,
真誠地，
Ryan Siegal
RS FUND LP
瑞安·西格爾
RS FUND LP
SOURCE: RS Fund Management LLC
來源：RS 基金管理有限責任公司