Qualstar Facing Take Over Bid by InvestorMonday, May 21, 2012
One of the largest shareholders of Simi Valley-based Qualstar Corp. is making an attempt to take over the company’s board of directors.
BKF Capital Group Inc. and its owner Steven Bronson called for a special meeting to remove the company’s current board and reduce its number to five members from six members. Qualstar is a storage and power supply product manufacturer.
BKF Capital, based in Boca Raton, Fla., and Bronson own a combined 17.3 percent stake in Qualstar. The company’s largest investor is co-founder and CEO William Gervais, who is stepping down from that position on June 15.
Qualstar set a special meeting for June 20 at its corporate offices to vote on who serves on the board of directors. BKF has named five nominees, including Bronson, to serve on the board.
BKF’s attempt to replace the board is just a way for that firm to secure a quick opportunistic gain, said Lawrence Firestone, who will become the new chief executive following Gervais’s retirement.
“We look forward to the special meeting, which will provide our shareholders an important opportunity to support our directors and management and to putting this wasteful proxy contest behind us,” Firestone said in a prepared statement.
Mark R. Madler