Verint Declines Stakeholder Demand for Board Changes
In a letter to investors, the cybersecurity company called the demand made by 2.6% stakeholder Neuberger Berman ”unwarranted.” Neuberger Berman told Reuters Verint was being “defensive”
For daily updates, subscribe to our newsletter by clicking here.New York-headquartered private investment firm Neuberger Berman holds a 2.6% stake in Verint. The company has several larger stakeholders, including Vanguard Group Inc. with 9.14%, Blackrock Inc. with 7.18%, and AllianceBernstein Holding LP with 4.02%.
In its Tuesday letter, Verint stated its growth strategy over the past two years "has driven strong financial performance, including accelerating revenue growth with expanding margins." The company expects its revenues to increase by around $25 million over the upcoming year, Verint said, and has seen a stock increase of over 56% over the past 12 months—46% up since the beginning of 2019.
"Given this momentum, the Board believes that Neuberger Berman's nomination of directors is demonstrably unwarranted," Verint wrote.In an interview with Reuters, Neuberger Berman portfolio manager Benjamin Nahum said the firm would like to conduct a dialogue with Verint, but that the company is being "defensive."