An oil refining company controlled by investor Carl Icahn has stepped up its rhetoric about the executive pay practices at locally based peer Delek US Holdings, with its CEO saying Friday his team “will have no choice” but to take Delek to court should it not share certain documents.
In a letter following up on a note earlier this month, CVR Energy President and CEO David Lamp again takes aim at the compensation given by Delek to Chairman and CEO Uzi Yemin and blasts the company’s lack of response to his requests for details about its practices.
“Among other things, we thought these documents would allow us — and our fellow stockholders — to better assess whether Delek’s supposedly independent directors are doing their jobs well, or whether, as we believe is likely, you tend to steamroll over them, almost inevitably getting your way,” Lamp wrote. “If the latter is the case, then the company clearly needs directors with far more backbone; directors who are willing to tell you ‘no’ no matter how much pressure you apply to them.”
Lamp and CVR are taking aim at three of Delek’s board seats and have said they want the company to make major strategic changes — such as refinery conversions and the sale of the company’s convenience stores — as well as overhauling some of its governance practices.
Officials with Delek did not immediately respond to Lamp Friday. Early this month, they said CVR’s campaign will not benefit other Delek shareholders and pointed out that the company’s strategies have produced above-average returns for investors.
Delek shares (Ticker: DK) were up more than 2 percent to $22.36 at 1:45 p.m. Friday. They began the year around $15 and have nearly doubled since mid-September.
Analysts at Moody's Investors Service have lifted their ratings of Acadia Healthcare’s debt after the Franklin-based behavioral health care company sold its less profitable United Kingdom division.
The Moody’s team now rates Acadia’s family of debt instruments at Ba3 — up two notches from B2 — which is two steps below the firm’s investment grade cutoff. The analysts say they expect CEO Debbie Osteen and her team to run Acadia more conservatively even as they invest in growth initiatives. To that latter point, they have taken down the company’s liquidity rating, saying they expect Acadia will have negative free cash flow this year as it invests in growth Osteen outlined last month.
Shares of Acadia (Ticker: ACHC) were down about 1 percent to $57.98 Friday afternoon. They have roughly doubled over the past six months.