Paragon Technologies Issues Statement To Shareholders Of Ocean Power Technologies Regarding The Shameless Entrenchment Actions Of The OPTT Board
Portfolio Pulse from Benzinga Newsdesk
Paragon Technologies (OTC:PGNT), owning 4.9% of Ocean Power Technologies (NYSE:OPTT), criticizes OPTT's board for entrenchment and dishonesty. Paragon's request for a preliminary injunction against OPTT's advance notice bylaws was denied, but the court expressed doubts about the board's good faith. Paragon accuses OPTT of fabricating schemes to block alternate director nominations and questions the board's spending of over $6 million to defend against Paragon's campaign, given OPTT's financial losses and risk of insolvency. Paragon urges shareholders to vote for its director nominees, citing its own track record of creating shareholder value.
December 06, 2023 | 9:33 pm
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POSITIVE IMPACT
Paragon Technologies, holding 4.9% of OPTT, criticizes OPTT's board and promotes its own track record of creating shareholder value, suggesting it could replicate this success at OPTT.
Paragon's aggressive stance and promotion of its successful track record may attract investor interest in PGNT, potentially leading to a short-term positive impact on its stock price.
CONFIDENCE 80
IMPORTANCE 75
RELEVANCE 80
NEGATIVE IMPACT
Ocean Power Technologies faces criticism from its largest shareholder, Paragon Technologies, for board entrenchment and financial mismanagement, with potential insolvency in 2024.
The negative sentiment expressed by Paragon Technologies, the largest shareholder, about OPTT's board actions and financial state could lead to a loss of investor confidence and a potential decrease in stock price in the short term.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100