Shareholder advisor sides with Burkle in B&N claim

Shareholder advisor sides with Burkle in B&N claim

<p>Billionaire investor Ronald W Burkle has won an ally in his plan to take control of Barnes &amp; Noble.<br /><br />In a further twist to the battle for control of the US book chain, Institutional Shareholder Services (ISS), an advisor to stock investors, has endorsed his plan to replace three of nine directors at the bookseller.<br /><br />This change will allow Burkle&#39;s investment company Yucaipa Cos, to own up to 30% of B&amp;N. Yucaipa owns 18.8% of the shares and is prevented from exceeding 20% by the &quot;poison pill&quot; plan.<br /><br />In a statement, Yucaipa Cos said &quot;We believe Barnes &amp; Noble is significantly undervalued and that the right changes can unlock significant value for the benefit of all stockholders.&quot;</p><p>A statement from B&amp;N called iSS&#39; analysis &quot;flawed and not in the best interest of our shareholders.&quot; It noted that two other shareholder advisors, Glass Lewis &amp; Co and Egan-Jones Proxy Services, support its anti-takeover plan.<br /><br />On Monday another shareholder advisory service, Proxy Governance Inc, also advised shareholders to side with the company.</p><p><a href="../news/128680-bn-md-urges-shareholders-to-reject-burkle.html" target="_blank">On Friday</a>, c.e.o. William J Lynch urged shareholders to reject Burkle&#39;s plans. </p>