February 18, 2019
Bloomberg Reports that in a recent letter to Shinsei Bank, Dalton Investments has called on to add Dalton’s co-founder, Jamie Rosenwald, to the company’s board. Rosenwald has strong experience of investing in financial institutions and serving on boards.
In addition, Dalton also renewed its call for the bank to carry out “massive” buybacks and shift its compensation program toward the use of restricted shares for senior management and directors.
Shinsei is the only major Japanese bank that hasn’t repaid its banking-crisis bailout. According to Rosenwald, if these recommendations are put in place and “if carried out with diligence,” they “will cause the share price to rise substantially and allow the Japanese taxpayer to finally be repaid.”
Dalton intends to submit the recommendation to appoint Rosenwald to the board as a shareholder proposal for this year’s Shinsei AGM, expected to be held in June, if Shinsei responds negatively to the initial letter which was sent.
For the full article, please see here. For the letter, please see here.
Dalton Investments LLC is a value-focused investment management firm with expertise in Asia equities, global equities and fixed income. Headquartered in Los Angeles, with a subsidiary office in Tokyo, Dalton manages $3.6 billion (January 31, 2019) in actively managed long-only and long/short strategies for pensions, endowments, foundations, financial institutions and family offices.