A second major independent proxy advisory firm, Glass Lewis & Co., is advising MDC Shareholders to vote yes to the merger with Stagwell Media, according to the holding company.
MDC announced the decision. Glass Lewis didn’t respond to a request for confirmation by the time of this posting.
The recommendation follows a decision earlier this week by Institutional Shareholder Services to support the merger as well. ISS reversed course after Stagwell sweetened its offer.
MDC quoted from the Glass Lewis recommendation:
“…we believe that Stagwell has made a sufficient improvement to its offer, one that is consistent with the special committee’s request and reasonably reflective of the updated valuations of the merger parties.”
The firm also indicated, like ISS noted, that it’s probably the best deal shareholders are going to get.
So now the two biggest proxy advisory firms have weighed in recommending shareholders go for the deal. No guarantee that enough shareholders will vote that way but more often than not they tend to vote the way the proxy firms suggest.
So far dissenting shareholder Indaba Capital Management has not commented on the ISS or Lewis Glass recommendations.
The vote is currently scheduled for July 26.