Autodesk (ADSK) Faces Starboard Value Criticism for Shareholder Underperformance, Compensation Practices, and Misleading Disclosures

GAMCO Asset Management, holding 8.3% of Dril-Quip, wrote to Chairman John V. Lovoi stating it will vote against the proposed merger with Innovex Downhole Solutions. GAMCO argues the deal dilutes Dril-Quip’s offshore-focused franchise, shifting revenue toward U.S. onshore markets just as that segment slows, while reducing offshore exposure from ~75% in a normalized cycle to only 39% post-merger. It also highlights that Dril-Quip’s strong debt-free balance sheet would be weakened by Innovex’s $110.6 million net debt and a $75 million special dividend to its private equity owner, Amberjack Capital Partners. GAMCO stresses Dril-Quip is worth more standalone, noting its improving EBITDA, cash-rich balance sheet, and projections of $330 million cumulative free cash flow through 2028. It values Dril-Quip at $39 per share standalone versus only $36 pro forma under the merger, calling the deal dilutive and not in shareholders’ best interests.