Starboard to nominate nine directors for election at Mellanox
Starboard Value, the largest shareholder of Mellanox Technologies, with an ownership interest of approximately 10.7% of the company's outstanding shares, today announced that it will be nominating a slate of nine highly qualified candidates for election to the board at the company's 2018 Annual Meeting of Shareholders. Starboard also announced that it has issued the following open letter to Mellanox shareholders. The letter said in part:" As we have communicated previously, we believe Mellanox is a great company with a market leading technology portfolio and product set. We believe that Mellanox is deeply undervalued and opportunities exist within the control of management and the Board of Directors to unlock significant value for the benefit of all shareholders. In light of the upcoming deadline for shareholder nominations, as set by the company, and in order to preserve our rights as shareholders, we will be delivering to Mellanox a formal notice nominating nine highly qualified director candidates for election at the 2018 Annual General Meeting of Shareholders...Mellanox has been plagued by years of dismal stock price and operating performance, poor execution, excessive stock-based compensation, and a perceived inability to hold management accountable for its failure to deliver results...We believe that substantial change is required and warranted on the Board in order to provide a new plan for the future...Our hope is that we can work with the Company to find the right long-term solution for Mellanox, rather than simply a boost in short-term performance. Our goal is to create value for the benefit of all shareholders. We believe that Mellanox has the potential to become a best-in-class company."