Farallon nominees were elected to the Board of Exelixis, Inc.( EXEL)
Key Summary: Exelixis, Inc saw three Farallon nominees (Tomas Heyman, David Johnson, and Robert Oliver) elected to its Board at the 2023 AGM. Farallon (7.5% stake) advocated for Board changes, enhanced R&D focus, stockholder returns, and better communication, launching a proxy campaign and securing support for its nominees.
Market Cap: $6.3 billion | Exelixis, Inc., an oncology-focused biotechnology company, specializes in the discovery, development, and commercialization of new medicines to treat cancers in the United States.
- On March 20, 2023, Caligan Partners and Farallon Capital (together holding 7.5%) expressed their concerns regarding the company's poor stock performance and their belief that the company needs to refresh the Board, rationalize research and development efforts, return capital to stockholders (through a significant share repurchase program and ongoing distributions), and improve investor communications. Source
- On March 27, 2023, Farallon Funds stated that on March 23, 2023, it had nominated four director candidates for election to the Board at the 2023 annual meeting of shareholders. Source
- On April 5, 2023, Farallon Funds issued a letter to the Board outlining the need for change in the boardroom. It estimated that the net present value of the cabozantinib cash flows alone (with a modest R&D program) is worth in excess of $33 per share.
- On April 6, 2023, Farallon Funds filed proxy materials seeking support for its nominees.
- On April 21, 2023, Farallon Funds filed additional proxy materials seeking support for its nominees.
- On April 22, 2023, Farallon Funds launched a website, www.FocusEXEL.com, to communicate with shareholders of the company in connection with Farallon’s solicitation of proxies for use at the company’s 2023 AGM.
- On May 3, 2023, Farallon Funds filed further proxy materials seeking support for its nominees.
- On May 7, 2023, Farallon Funds stated that it had nominated three candidates for election to the Board at the upcoming annual meeting to be held on May 31, 2023. Exelixis had previously agreed to support two of Farallon’s nominees, Tom Heyman and Bob Oliver. On May 7, 2023, incumbent director Lance Willsey, whom Farallon had targeted for replacement on the Board by Farallon’s third candidate, Dave Johnson, resigned from his directorship and determined he would not stand for reelection. As a result, Dave Johnson was expected to be elected to the company’s Board. Source
- On May 11, 2023, Farallon Funds issued a presentation to the shareholders seeking support for its nominees.
- On May 31, 2023, the three Farallon nominees (Tomas J. Heyman, David E. Johnson, and Robert Oliver, Jr.) were elected to the Board at the 2023 annual meeting. Source
Member discussion