NorthStar 'Disappointed' After Activist Investor Pushes For A 'Potentially Disruptive' Proxy Context

Land and Buildings, an activist investment firm, delivered a letter to NorthStar Asset Management Group Inc NSAM's board of directors on January 22, 2016.

Land and Buildings' Chief Investment Officer Jonathan Litt said in the letter that NorthStar Asset Management's stock is "materially undervalued," and the company should recombine with Northstar Realty Finance Corp NRF.

Related Link: NorthStar Asset Management Group Moves Higher After Activist Investor Details Why Shares Are "Materially Undervalued"

Land and Buildings also announced its intention to nominate six representatives to the company's board of directors.

NorthStar Responds

NorthStar Asset Management responded to Land and Buildings on Friday. The company said that it is "disappointed" that the activist investor would pursue a "potentially disruptive" proxy contest at the same time that the board of directors is reviewing strategic alternatives to maximize shareholder value – a process that was announced on January 11 and is "well underway."