UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 14A
Proxy Statement Pursuant to Section 14(a) of
the Securities Exchange Act of 1934 (Amendment No. )
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Preliminary Proxy Statement
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Confidential, for Use of the Commission Only (as permitted by Rule 14a‑6(e)(2))
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Definitive Proxy Statement
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Definitive Additional Materials
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Soliciting Material under §240.14a‑12
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Servotronics, Inc.
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(Name of Registrant as Specified In Its Charter)
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(Name of Person(s) Filing Proxy Statement, if other than the Registrant)
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Fee paid previously with preliminary materials.
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Fee computed on table in exhibit required by Item 25(b) per Exchange Act Rules 14a‑6(i)(1) and 0-11.
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On March 19, 2025, William F. Farrell, Jr., Chief Executive Officer of Servotronics, Inc. (the “Company”), was quoted in the following article published by Buffalo Business First.
Servotronics evaluates options amid industry challenges
An Elma aerospace manufacturing company is evaluating its options amid some industry challenges and an activist shareholder.
Servotronics Inc. (NYSE: SVT) recently announced its board of directors has begun a review of the company’s strategic alternatives, which could include the sale of the company, investments of capital or continuing on its current path.
“The Servotronics team has achieved significant progress in our transformation efforts over the past three years as a valued supplier to the commercial aerospace industry,” Christopher Marks, chairman of board, said in a press release. “Our board and leadership team see significant opportunities for continued growth given the strong fundamentals in our major markets. To enable this growth and better meet the needs of our customers, employees and investors the Board has commenced a strategic review of alternatives for Servotronics.”
Why it matters: Servotronics is one of the Buffalo area’s top 15 largest locally headquartered public companies, based on Business First’s annual rankings by revenue. The business had $43.63 million in revenue for the 2023 fiscal year. The company employs about 277, all in Western New York.
This news comes as a shareholder, Paul Snyder III, Beaver Hollow Wellness CEO and chairman of Founders Software Inc., seeks board seats for himself and three others.
“As an investor and stakeholder, I have lost confidence in this leadership team, as the company's persistent underperformance is a direct result of poor executive oversight and misguided strategic decisions,” Snyder said in a public statement.
Snyder, who has a 15.2% stake in the company, is seeking the four to be elected to the board of directors at Servotronics' annual 2025 meeting. The date of the meeting has not been publicly announced.
Servotronics has hired Houlihan Lokey, an investment banking firm, as lead financial advisor and Bond, Schoeneck & King PLLC as its legal counsel for the strategic alternatives review.
The Elma company has not set a timeline for completing the review or any potentially resulting transaction.
"The company does not intend to update the market on its progress unless or until it determines that further disclosure is appropriate or required by law," the release said.
When asked why the board decided to explore the company’s options and if it relates to the activist shareholder, CEO Bill Farrell said this move was primarily the result of continuing challenges from the commercial aerospace market.
Market turbulence from Boeing and Airbus has rippled down to Servotronics, which manufactures single and two-stage servo valves. Airplane deliveries were down 10% in 2024 compared to the year prior, according to Farrell.
“2025 looks promising, but as a small company, we have to look at the risk there might be going forward and options for the company, considering our place in that market,” he said.
The company has not commented on Snyder and his proxy efforts.
The board did meet a couple years ago to discuss alternatives for Ontario Knife Co, which resulted in the August 2023 sale of the subsidiary. But this is the first time since Farrell joined Servotronics in 2022 that the business is doing a formal strategic review for the company overall.
Servotronics has reduced its net loss from $2.113 million in 2023 to $1.009 million in 2024, based on financial filings.
In 2024, the company's revenue increased year-over-year by about $1.29 million, or 3%.
“This is part of the overall improvement that we’ve had from an operational perspective and customer demand,” Farrell said. “We had expectations that would have been even higher if it wasn’t for challenges in the second half of the year. … We continued to be positioned well for that growth, just a little bit of pause and delay.”
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IMPORTANT INFORMATION
Servotronics, Inc. ("Servotronics" or the "Company") will file a proxy statement with the Securities and Exchange Commission (the "SEC") in connection with the solicitation of proxies for its annual meeting of shareholders. The Company will furnish the definitive proxy statement to its shareholders. Shareholders are strongly advised to read the proxy statement because it will contain important information from the Company. Shareholders may obtain a free copy of the proxy statement, any amendments or supplements to the proxy statement and other documents that the Company files with the SEC from www.sec.gov or the Company's website at https://servotronics.com/investor-relations/ as soon as reasonably practicable after such materials are electronically filed with, or furnished to, the SEC.
The Company, its directors and its executive officers may be deemed participants in the Company's solicitation of proxies from shareholders in connection with the matters to be considered at the upcoming annual meeting of shareholders. Information about the Company's directors and executive officers is set forth in the Company's Proxy Statement for its last Annual Meeting of Shareholders, which was filed with the SEC on April 11, 2024 and is available at the SEC's website at www.sec.gov or the Company's website at https://servotronics.com/investor-relations/. Additional information regarding the interests of participants in the solicitation of proxies in connection with the upcoming annual meeting of shareholders will be included in the definitive proxy statement that the Company will file with the SEC.
Grafico Azioni Servotronics (AMEX:SVT)
Storico
Da Mar 2025 a Apr 2025
Grafico Azioni Servotronics (AMEX:SVT)
Storico
Da Apr 2024 a Apr 2025
