Brig ~~~ put FINL on your WatchList......something is brewing !!
Hedge Fund asks Finish Line to act
Friday September 8, 2:16 pm ET
Hedge-Fund Manager Wants Finish Line to 'Enhance Shareholder Value'
WASHINGTON (AP) -- Hedge-fund manager Clinton Group Inc. on Friday said it recently sent a letter to clothing retailer Finish Line Inc. asking the company's board to "take immediate steps" to enhance shareholder value.
According to an amended filing with the Securities and Exchange Commission, Clinton Group holds a 5.1 percent stake in Indianapolis-based Finish Line.
Finish Line shares rose 64 cents, or 5.8 percent, to $11.76 in afternoon trading on the Nasdaq Stock Market. The shares are down 32 percent this year.
In the letter, sent to Finish Line on Thursday, Clinton Group said it would like the company to eliminate its dual-class voting structure or buy back shares.
Clinton also said that if Finish Line's share price continues to languish, it would like the company to hire an investment bank to explore strategic alternatives, including a potential buyout or sale of the company.
New York-based Clinton Group said it invested in Finish Line because it believes the company's share price fails to reflect the true earnings power of the traditional Finish Line concept stores, management's ability to turn around the recent same-store sales trends, and the potential for margin improvement.
Clinton Group said it has met with, and may in the future meet with, representatives of Finish Line to discuss strategic direction and corporate governance.
