Does Not Believe LL Flooring’s So-Called
Strategic Plan is Working, Given Stock Price Has Plummeted More
Than 93% in Three Years Under Current Leadership
LL Flooring’s Letter Fails to Address Recent
Going Concern Bombshell Disclosure from Auditors that the Company
May Be at Risk of Going Out of Business
F9’s Three Highly Qualified Director Nominees –
Tom Sullivan, Jason Delves, and Jill Witter – Are the Right
Individuals to Restore Value to LL Flooring
Recommends Shareholders Vote the GOLD Proxy
Card “FOR” All of F9’s Director Nominees
F9 Investments, LLC (“F9”), which together with its affiliates
collectively owns approximately 8.85% of LL Flooring Holdings, Inc.
(“LL Flooring” or the “Company”) (NYSE: LL) common stock and is the
Company’s largest shareholder, today issued the following statement
in response to LL Flooring’s claims regarding F9’s intentions and
the strategic capability of the Company’s current Board of
Directors (the “Board”).
Tom Sullivan, Founder of F9 and founder and former CEO and
Chairman of Lumber Liquidators, LL Flooring’s predecessor company,
said, “As the largest shareholder of LL Flooring, we are seeking
three seats on the Company’s nine-person Board to protect the value
of our investment and that of all stakeholders. As such, we are
clearly not seeking control of the Company. Rather, as we have
stated previously, we believe LL Flooring desperately needs strong
leaders in the boardroom who can provide much-needed oversight and
who bring a track record of creating value.
“Notably, under the incumbent Board, LL’s stock price has
plummeted more than 63%, 93%, and 83% on a 1-, 3-, and 5-year
basis, respectively, and the Board’s so-called five step strategic
plan has been an abject failure. Moreover, we believe the Board’s
sale process has been a complete sham, as the Board has disclosed
that it has received multiple premium offers from bona fide bidders
only to reject or ignore them as the Company’s share price craters.
We also believe the Board’s stated plan to enter into a
sale-leaseback commitment for its distribution center is
shortsighted and will most likely increase expenses and be value
destructive in the long run.
“We believe that the claims in the letter LL Flooring mailed to
shareholders today are misleading and delusional and lead us to
believe that the Board is only seeking to entrench itself and fails
to recognize the dire state of the Company despite the fact that it
recently disclosed that its auditors believe that LL Flooring may
be at risk of going out of business if its financial condition
continues to deteriorate.”
F9 URGES ALL LL FLOORING SHAREHOLDERS TO
VOTE ON THE GOLD PROXY CARD TODAY
“FOR” F9’S NOMINEES TOM SULLIVAN, JASON DELVES, AND JILL WITTER AND
“WITHHOLD” ON ALL LL FLOORING NOMINEES
Additional information regarding F9’s highly qualified,
independent nominees and voting instructions, may be found at
www.LLGroove.com.
Solomon Partners Securities, LLC is serving as F9’s financial
advisor and Dentons US LLP is serving as its legal advisor.
DISCLAIMER
Except as otherwise set forth in this press release, the views
expressed in this press release reflect the opinions of F9
Investments, LLC and its affiliates (“F9”) and are based on
publicly available information with respect to LL Flooring
Holdings, Inc. (“LL” or the “Company”). F9 recognizes that there
may be confidential information in the possession of the Company
that could lead it or others to disagree with F9’s conclusions. F9
reserves the right to change any of its opinions expressed herein
at any time as it deems appropriate and disclaims any obligation to
notify the market or any other party of any such change, except as
required by law. F9 disclaims any obligation to update the
information or opinions contained in this press release, except as
required by law. For the avoidance of doubt, this press release is
not affiliated with or endorsed by LL.
This press release is provided merely as information and is not
intended to be, nor should it be construed as, an offer to sell or
a solicitation of an offer to buy any security nor as a
recommendation to purchase or sell any security. Certain of the
Participants (as defined below) currently beneficially own shares
of the Company. The Participants and their affiliates may from time
to time sell all or a portion of their holdings of the Company in
open market transactions or otherwise, buy additional shares (in
open market or privately negotiated transactions or otherwise), or
trade in options, puts, calls, swaps or other derivative
instruments relating to such shares.
Some of the materials in this press release contain
forward-looking statements. All statements contained herein that
are not clearly historical in nature or that necessarily depend on
future events are forward-looking, and the words “anticipate,”
“believe,” “expect,” “potential,” “could,” “opportunity,”
“estimate,” “plan,” “once again,” “achieve,” and similar
expressions are generally intended to identify forward-looking
statements. The projected results and statements contained herein
that are not historical facts are based on current expectations,
speak only as of the date of these materials and involve risks,
uncertainties and other factors that may cause actual results,
performances or achievements to be materially different from any
future results, performances or achievements expressed or implied
by such projected results and statements. Assumptions relating to
the foregoing involve judgments with respect to, among other
things, future economic competitive and market conditions and
future business decisions, all of which are difficult or impossible
to predict accurately and many of which are beyond the control of
F9.
The estimates, projections and potential impact of the
opportunities identified by F9 herein are based on assumptions that
F9 believes to be reasonable as of the date of this press release,
but there can be no assurance or guarantee (i) that any of the
proposed actions set forth in this press release will be completed,
(ii) that the actual results or performance of the Company will not
differ, and such differences may be material, or (iii) that any of
the assumptions provided in this press release are accurate.
F9 has neither sought nor obtained the consent from any third
party to use any statements or information contained herein that
have been obtained or derived from statements made or published by
such third parties, nor has it paid for any such statements. Any
such statements or information should not be viewed as indicating
the support of such third parties for the views expressed herein.
F9 does not endorse third-party estimates or research which are
used herein solely for illustrative purposes.
Important Information
F9 Investments, LLC, Thomas D. Sullivan, John Jason Delves and
Jill Witter (collectively, the “Participants”) filed a definitive
proxy statement and accompanying form of gold proxy card (as
supplemented and amended, the “Definitive Proxy Statement”) with
the Securities and Exchange Commission (the “SEC”) on May 31, 2024
to be used in connection with the 2024 annual meeting of
stockholders of the Company.
THE PARTICIPANTS STRONGLY ADVISE ALL STOCKHOLDERS OF THE COMPANY
TO READ THE DEFINITIVE PROXY STATEMENT AND OTHER PROXY MATERIALS
BECAUSE THEY CONTAIN IMPORTANT INFORMATION. SUCH PROXY MATERIALS
ARE AVAILABLE AT NO CHARGE ON THE SEC’S WEBSITE AT WWW.SEC.GOV AND
F9’S WEBSITE AT WWW.LLGROOVE.COM. THE DEFINITIVE PROXY STATEMENT
AND ACCOMPANYING PROXY CARD WILL BE FURNISHED TO SOME OR ALL OF THE
COMPANY’S STOCKHOLDERS. STOCKHOLDERS MAY ALSO DIRECT A REQUEST TO
F9’S PROXY SOLICITOR, CAMPAIGN MANAGEMENT, 15 WEST 38TH STREET,
SUITE #747, NEW YORK, NY 10018 (STOCKHOLDERS CAN E-MAIL
INFO@CAMPAIGNMANAGEMENT.COM OR CALL TOLL-FREE: (855) 264-1527.
Information about the Participants and a description of their
direct or indirect interests by security holdings or otherwise can
be found in the Definitive Proxy Statement.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240603758828/en/
Investors: Michael Fein Campaign Management (212) 632-8422
michael.fein@campaign-mgmt.com
Media: Jonathan Gasthalter/Nathaniel Garnick Gasthalter &
Co. (212) 257-4170 F9Investments@gasthalter.com
Grafico Azioni LL Flooring (NYSE:LL)
Storico
Da Ott 2024 a Nov 2024
Grafico Azioni LL Flooring (NYSE:LL)
Storico
Da Nov 2023 a Nov 2024
