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Negligible Victories At Pirate Capital

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Congratulations to Tom Hudson, whose hedge fund ended its proxy battle with Angelica, a healthcare linens company, after Angelica kowtowed to the Jolly Rogers’ demand to explore a possible sale. In July, the Pirate team, which owns approximately 9.8 percent of Angelica, told the firm to put itself on the block or prepare to go to war, and nominated two of its own to the board. Angelica stated yesterday that has given its financial adviser Morgan Joseph* the green light to pursue a sale. Hudson then withdrew his nominees for the board, based on the assumption that Morgan Joseph will have time to work on a deal, what with inner-office bitching between associates and analysts taking up a large portion of the day.
Though a previous proxy fight with energy company Aquila saw Pirate distributing buttons and t-shirts, circumstances of late, including but not limited to managed assets falling to $375 million from last year’s $1.802 billion, rendered the free-gift with purchase deal too costly. Why nobody thought to offer burned copies of Michael Bolton’s greatest hits is beyond us. Hindsight.
Pirate Ceases Fire on Angelica []