AVI Capital Yankee LP and related entities criticized for asking its shareholdersto reject a proposal byVIEX Opportunities Fund LP and its affiliates to declassify the board structure.
According to an amended Schedule 13D filed March 30, the investorgroup said it was disappointed by the move and asked the company's board to avoida proxy contest and instead work with VIEX to enhance the composition of the boardand improve the company's corporate governance.
Further, AVI said that its confidence in the company's managementhas deteriorated and it plans to support the upcoming vote on VIEX's two directorcandidates and the declassification proposal.
Meanwhile, according to a March 30 preliminary proxy statement,VIEX asked YuMe's shareholders to support its proposals at the annual meeting ofstockholders scheduled to be held May 27.
VIEX is seeking the election of two director nominees to theboard in opposition to two of the company's director nominees, to serve as classIII directors until the 2019 annual meeting of stockholders or until a replacementis named. Also, VIEX asked the shareholders to approve a nonbinding proposal torequest that the board take the steps necessary to eliminate the classificationof the board.