Icahn Wins Key Endorsement In Proxy Fight With Biogen Idec
Summary
The billionaire investor received an endorsement from RiskMetrics Group for two of the four candidates he has nominated to the 13-member board of the Cambridge,MA-based biotech company (NASDAQ: BIIB).Riskmetrics, formerly known as ISS, recommended shareholders vote for Alex Denner and Richard Mulligan from Icahn’s slate of candidates.It’s potentially an important victory for Icahn, because RiskMetrics is widely considered to be the most influential firm that advises big institutional investors on how to vote in proxy contests or on corporate acquisitions.Last week, Icahn failed to win recommendations from Glass Lewis & Co. and Proxy Governance, the other two significant proxy advisers, so the latest endorsement gives Icahn at least a shot at success in getting a couple seats on the Biogen board, according to this Dow Jones report.The proxy battle between Icahn and Biogen has been more intense this year than it was a year ago, as Icahn has issued a withering critique of the company’s “failed leadership.” He got specific, citing the company’s inability to develop any new drugs since 2004, its rising expenses, and stock performance that has trailed its peers.