NEW YORK, April 27, 2020 /PRNewswire/ -- Wynnefield
Capital, Inc. (together with its affiliates, "Wynnefield" or
Wynnefield Capital), beneficial owners of approximately 8.5% of the
outstanding common stock of MVC Capital Inc. (NYSE: MVC) ("MVC" or
the "Company") and the Company's second largest shareholder, today
announced the nomination of Arthur
Lipson, a highly-qualified, independent candidate for
election to MVC's nine member Board of Directors at the Company's
2020 Annual Meeting of Shareholders ("Annual Meeting"). The
nomination of Mr. Lipson, is in addition to Wynnefield's prior
nominations of John D. Chapman and
Ron Avni to the Company's Board.
Nelson Obus, President of
Wynnefield Capital, said, "We are pleased that Arthur Lipson, along with John Chapman and Ron
Avni, will stand for election to MVC's Board at its upcoming
annual meeting of shareholders. Each of these individuals are
highly experienced and qualified to serve the best interests of
MVC's shareholders."
Mr. Obus continued, "Arthur
Lipson is an ideal candidate for our entirely independent,
minority slate. He is a long-term shareholder of MVC with
extensive financial, trading and investment expertise, particularly
in the areas of closed-end funds."
"We are confident that Messrs. Chapman, Avni and Lipson would
work diligently and collaboratively with their Board colleagues to
reposition MVC for success. We would hope that these actions
include an independent review of strategic alternatives, primarily
a potential merger of MVC with another business development company
to achieve necessary scale, paving the way for lower operating
expenses and higher dividends."
In the event that MVC purports to increase the number of
directors serving on the Board or otherwise increases the number of
directors to be elected at the 2020 Annual Meeting, Wynnefield
reserves the right to nominate additional persons as directors to
fill any vacancies created by the increase or to fill any
additional positions on the Board which MVC's shareholders shall
vote on at the 2020 Annual Meeting.
Wynnefield Capital's director nominees are (in alphabetical
order):
Ron Avni (44)
- 20 years of extensive financial, operational and investment
management experience.
- Track record of successfully creating shareholder value within
distressed companies and transforming these companies in
collaboration with key stakeholders.
- Adviser to companies on investment and business
strategies.
- Served as a portfolio manager at QVT Financial LP, a
multi-billion-dollar investment firm where, among other things, he
led investment activities in closed-end fund arbitrage and related
special situations globally.
- Served as senior quantitative analyst and trader at Weiss Asset
Management from 2003 to 2005, where he developed quantitative
trading methodologies and software as well as managed a broad array
of the firm's business operations.
- CFA® Charterholder. Received an AB in Physics, magna cum
laude, from Harvard University and is
enrolled in a PhD program at the University of
Texas at Austin.
John D. Chapman (64)
- Specializes in representing shareholder interests in connection
with the operation and management of investment funds and ancillary
assets.
- Unique skillset, insights and qualifications to serve as a
member of MVC's Board and any of its committees.
- Extensive legal, financial analysis and corporate governance
expertise.
- Served as the chairman, executive director, or non-executive
director of a number of public companies, both domestically and
globally.
- CFA® Charterholder and member of the New York State Bar Association. Received a
B.A. from Bates College and a Juris
Doctorate from The University of
Texas.
Arthur D. Lipson (77)
- Served as the managing member of Western Investment LLC,
specializing in investing undervalued companies, particularly
closed-end funds.
- Served as a director of Pioneer Municipal and Equity Income
Trust, during which time he oversaw the elimination of a steep
discount to PBF's net asset value and the merger of PBF into
Pioneer Tax Free Income Fund, an open end fund.
- Previously headed all fixed income research for Lehman Brothers
and Paine Weber, and is credited as the creator of the Kuhn Loeb
Bond Indices, now known as the Bloomberg Barclay Indices.
- Long-term shareholder of MVC.
- Received a B.S. from the California Institution of Technology
and a M.S. from Columbia University
and
Additional biographical information regarding Wynnefield
Capital's director nominees will be included in Wynnefield
Capital's amended Statement of Beneficial Ownership on Schedule 13D
to be filed with the SEC.
Kane Kessler, P.C. is providing
legal counsel to Wynnefield Capital.
About Wynnefield Capital, Inc.
Established in 1992, Wynnefield Capital, Inc. is a value
investor specializing in U.S. small cap situations that have
company or industry specific catalysts.
Additional Information and Where to Find It
Wynnefield Partners Small Cap Value, L.P.; Wynnefield Partners
Small Cap Value, L.P. I; Wynnefield Small Cap Value Offshore Fund,
Ltd.; Wynnefield Capital, Inc. Profit Sharing & Money Purchase
Plan; Wynnefield Capital Management, LLC; Wynnefield Capital, Inc.;
Joshua H. Landes; and Nelson Obus (collectively, "Wynnefield Capital")
together with John D. Chapman,
Ron Avni and Arthur D.
Lipson are participants in the solicitation of proxies from
stockholders in connection with the 2020 Annual Meeting of
Stockholders (the "Annual Meeting") of MVC Capital, Inc. (the
"Company"). Wynnefield Capital intends to file a proxy statement
(the "2020 Proxy Statement") with the Securities and Exchange
Commission (the "SEC") in connection with the solicitation of
proxies for the Annual Meeting unless it withdraws its nominations
and/or proposal.
Wynnefield Capital may be deemed to beneficially own 1,514,379
shares of the Company's common stock, representing approximately
8.5% of the Company's outstanding common stock. None of the other
participants own any shares of the Company's common stock.
Additional information regarding such participants, including their
direct or indirect interests, by security holdings or otherwise,
will be included in the 2020 Proxy Statement and other relevant
documents to be filed with the SEC in connection with the Annual
Meeting.
Promptly after any filing of its definitive 2020 Proxy Statement
with the SEC, Wynnefield Capital intends to mail the definitive
2020 Proxy Statement and an accompanying proxy card to some or all
stockholders pursuant to applicable SEC rules. STOCKHOLDERS ARE
URGED TO READ THE 2020 PROXY STATEMENT (INCLUDING ANY AMENDMENTS OR
SUPPLEMENTS THERETO) AND ANY OTHER RELEVANT DOCUMENTS THAT THE
COMPANY WILL FILE WITH THE SEC WHEN THEY BECOME AVAILABLE BECAUSE
THEY WILL CONTAIN IMPORTANT INFORMATION. Stockholders may obtain,
free of charge, copies of the definitive 2020 Proxy Statement and
any other documents filed by Wynnefield Capital with respect to the
Company with the SEC in connection with the Annual Meeting at the
SEC's website (http://www.sec.gov).
Media Contact:
Mark Semer / Daniel Yunger
Kekst CNC
212.521.4800
mark.semer@kekstcnc.com / daniel.yunger@kekstcnc.com
Proxy Solicitor:
Saratoga Proxy Consulting
John Ferguson / Joe Mills
212.257.1311
info@saratogaproxy.com
View original
content:http://www.prnewswire.com/news-releases/wynnefield-capital-nominates-third-highly-qualified-candidate-for-election-to-mvc-capital-board-301047302.html
SOURCE Wynnefield Capital