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Boards’ Dilemma: The Compounding Problem Hidden in Share Buyback Execution Products

Reynolds Holding

As a capital allocation decision, share buybacks intersect all three of the main corporate finance activities of investing, financing, and dividends [1]. One of the deep-seated reasons for the splitting of opinion is that share buybacks transfer wealth between shareholders [2].

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Skadden Discusses New SEC Pay-Versus-Performance Compliance & Disclosure Interpretations

Reynolds Holding

On November 21, 2023, the staff of the Securities and Exchange Commission’s (SEC’s) Division of Corporation Finance issued eight new Compliance & Disclosure Interpretations (C&DIs), and revised two previously issued C&DIs, relating to the final pay-versus-performance (PVP) disclosure rules adopted last year. Answer: No.

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Triton International to be Acquired by Brookfield Infrastructure in a $13.3 Billion Take-Private Transaction

Benzinga

For our long-term shareholders, this transaction crystalizes a total shareholder return of approximately 700% since the 2016 merger of Triton and TAL International. Prior to closing, Triton intends to maintain its current quarterly dividend on the Triton common shares.

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Skadden Discusses SEC Guidance on Pay-Versus-Performance Disclosure

Reynolds Holding

The staff of the Securities and Exchange Commission’s (SEC’s) Division of Corporate Finance recently issued guidance to address open questions related to the final pay-versus-performance (PVP) disclosure rules adopted in 2022. Further support comes from C&DI 128D.06,

Equity 45
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Wachtell Lipton Discusses How to Deal with Activist Investors

Reynolds Holding

Meanwhile, companies with robust balance sheets continue to face calls to return more cash to investors in the form of buybacks and special dividends. Although the political backlash against some of these issues may require walking a narrow path, these issues remain important to most of the large institutional investors.

Equity 40
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Wachtell Lipton on Dealing with Activist Hedge Funds and Other Activist Investors

Reynolds Holding

Traditional activism, focused on short-term profit, stock price and total shareholder return (TSR), continues alongside a new form of activism emphasizing climate and other environmental, employee/human capital, social and governance (ESG) considerations.

Equity 45