Semtech agrees with investor Lion Point Capital on board appointments
Semtech Corp. (Nasdaq: SMTC) says it has reached a cooperation agreement with investment firm Lion Point Capital, LP, that will see the two firms collaborate on the appointment of independent directors to the Semtech board. Lion Point owns approximately 4% of Semtech’s outstanding shares of common stock, making the company among the largest shareholders.
The agreement will see both parties select two independent directors. Lion Point will go first, naming two such directors “after receiving the views of Semtech,” in the words of a press release that announced the agreement. The additional directors will be named within 30 days of the agreement’s signing and will raise the number of directors from 10 to 12.
Next, the two new independent directors and eight current Semtech directors will stand for election to the board at the company’s 2023 Annual Meeting of Stockholders, the date of which has yet to be determined. Meanwhile, Semtech will begin a search for two other independent directors, conferring with Lion Point as the company does so. If one or both of those directors are selected prior to the 2023 Annual Meeting, they also would stand for election at that meeting, according to Semtech.
“We are pleased with the constructive dialogue we’ve had with Lion Point, and we look forward to welcoming two new independent directors to our board soon,” said Rockell N. Hankin, chairman of the Semtech board of directors. “Our board, which includes a broad range of skills and experience, as well as semiconductor expertise, regularly evaluates opportunities for refreshment and looks forward to benefiting from fresh perspectives to drive our business forward. As always, Semtech remains focused on the execution of our strategy as we continue to build on our outstanding platform for innovation and profitable growth.”
“Semtech is a leading semiconductor and wireless franchise with significant upside potential, which we believe can be unlocked,” added Cristiano Amoruso, partner at Lion Point Capital. “Through this agreement, we believe the board will be strengthened with new, highly qualified independent directors who will help position the company for long-term success. We appreciate the constructive partnership with the board and management, and we are aligned in our objective to create value for all Semtech stockholders.”
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Stephen Hardy | Editorial Director and Associate Publisher, Lightwave
Stephen Hardy is editorial director and associate publisher of Lightwave and Broadband Technology Report, part of the Lighting & Technology Group at Endeavor Business Media. Stephen is responsible for establishing and executing editorial strategy across the both brands’ websites, email newsletters, events, and other information products. He has covered the fiber-optics space for more than 20 years, and communications and technology for more than 35 years. During his tenure, Lightwave has received awards from Folio: and the American Society of Business Press Editors (ASBPE) for editorial excellence. Prior to joining Lightwave in 1997, Stephen worked for Telecommunications magazine and the Journal of Electronic Defense.
Stephen has moderated panels at numerous events, including the Optica Executive Forum, ECOC, and SCTE Cable-Tec Expo. He also is program director for the Lightwave Innovation Reviews and the Diamond Technology Reviews.
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