NEW YORK--(BUSINESS WIRE)--Nathan G. Miller and Peter O’Malley (the “Investors”), collective holders of approximately 9% of the outstanding common stock of Destination Maternity Corporation (Nasdaq: DEST) (“Destination Maternity” or the “Company”), today announced that Egan-Jones Proxy Services (“Egan-Jones”), a leading independent proxy voting advisory firm, has recommended that shareholders vote on the GOLD proxy card in support of all four of the Investors’ director nominees: Holly N. Alden; Christopher B. Morgan; Marla A. Ryan and Anne-Charlotte Windal.
Nathan Miller, of NGM Asset Management, stated: “We are pleased that Egan-Jones recommended shareholders support all four of our highly qualified nominees – and also agree that under their leadership Destination Maternity possesses the best chance to become a true turnaround story and unlock value for all shareholders. Notably, the report echoed our belief that our majority female slate would represent a true advantage given the business and customer base of the Company. Egan-Jones also recognized the history of value destruction that has occurred under the incumbent board and management, and the fact that unless shareholders vote on the GOLD card for change, more of the same disappointment is all shareholders can reasonably expect from Destination Maternity. We are appreciative of the support we have received thus far from our fellow shareholders and look forward to continuing to make our case in advance of the Annual Meeting.”
In its report, Egan-Jones noted the following:
- “Based on our review of publicly available information, we believe that voting FOR the election of the Investors’ nominees is in the best interest of the Company and its shareholders.”
- “We believe that change is warranted to correct the Company’s flawed strategy in executing its “go-forward” plan. As evident in the Company’s persistent underperformance – missed targets, bloated costs and poor financials, the incumbent Board and management’s approach in maximizing [shareholder value] has been ineffective.”
- “In our view, the election of the Investors’ nominees will endow the Board with diversity and the right mix of skills, experience and qualifications in the retail industry. We commend the Investors’ slate, which is comprised of three females, whom we believe, are appropriate given the Company’s nature of business and therefore, are positioned to execute the right strategy to unlock shareholder value.”
- “Given the Investors’ and their nominees combined ownership in the Company, we believe that they will work towards the alignment of their interests with the shareholders, and will unlock the Company’s growth potential versus the current status quo of underperformance.”
- “Given the foregoing, we believe that the nominees appear qualified and we recommend a vote FOR this Proposal on the GOLD Proxy Card.”