Marcato Hedge Fund Pushes Sotheby’s to Sell Real Estate

October 25th, 2013

Sotheby's, via BloombergAnother activist investor is making waves at Sotheby’s.  Richard McGuire, the head of Marcato Capital Management LLC (currently the third-ranking stockholder at the company) is apparently engaged in behind the scenes talks to convince the auction house to sell off its New York and London locations, while unlocking money from its smaller dealings in art finance and dealing.  Some have anticipated such a move could free up to $1.3 billion in cash, enough to buy back nearly a third of the company’s stock.  “Sotheby’s is committed to healthy two-way communication with its investors and welcomes thoughtful suggestions as we pursue our common goal of a strong, growing, competitive Sotheby’s open to new opportunities,” said company spokesman Andrew Gully.

Read more at The Wall Street Journal