The New Matthew Drapkin And Steven R. Becker’s Northern Right Capital Management Holding in Prgx Global, Inc
Northern Right Capital Management filed with the SEC SC 13D form for Prgx Global, Inc. The form can be accessed here: 000119312516769823. As reported in Matthew Drapkin And Steven R. Becker’s Northern Right Capital Management’s form, the filler as of late owns 5.9% or 1,283,365 shares of the Industrials–company.
Prgx Global, Inc stake is a new one for the for the hedge fund and it was filed because of activity on November 14, 2016. We feel this shows Matthew Drapkin And Steven R. Becker’s Northern Right Capital Management’s positive view for the stock. For a hedge fund managing $329.61 million in assets and having 8+ active experts, we at Financialmagazine have no doubt the buy is a bullish signal.
The hedge fund is active investor in the Finance sector. In the manager’s last 13-F, we saw 25% of Matthew Drapkin And Steven R. Becker’s Northern Right Capital Management’s US equities portfolio is in this sector.
Reasons Why Matthew Drapkin And Steven R. Becker’s Northern Right Capital Management Bought – Prgx Global, Inc Stock
Item 4. Purpose of Transaction
(a)-(j) The Reporting Persons purchased the Common Stock based on their belief that the shares of Common Stock, when purchased, represented anattractive investment opportunity. The Reporting Persons intend to review their investment in the Issuer on a continuing basis and in connection therewith, may discuss with the Issuer ways in which shareholder value may be increased, which mayinclude discussions regarding the assets, business, strategy, financial condition and/or operations of the Issuer.
Subject to applicablelaw and regulations and, depending upon certain factors, including general market and investment conditions, the financial performance and strategic direction of the Issuer, and the
availability of shares of Common Stock at prices that would make the purchase of such shares desirable, the Reporting Persons may increase their position in the Issuer through the purchase ofshares of Common Stock on the open market or in private transactions or otherwise, on such terms and at such times as the Reporting Persons deem advisable; provided, that the Reporting Persons will comply with their obligations under the Agreement(as defined below). In addition, the Reporting Persons may, from time to time and at any time, acquire other equity, debt, notes, instruments or other securities of the Issuer (collectively with the Common Stock, “Securities”) in the openmarket or otherwise. The Reporting Persons reserve the right in the future to dispose of any or all of their Securities in the open market or otherwise, at any time and from time to time, and to engage in any hedging or similar transactions withrespect to the Securities.
Based on the above discussions with the Issuer and subject to the factors described above, the ReportingPersons may nominate or recommend candidates to serve on the Board; have discussions with other shareholders and potential nominees to the Board; make additional proposals to the Issuer concerning changes to the strategy, capitalization, ownershipstructure, operations, governance structure or Restated Articles of Incorporation, as amended, or Amended and Restated Bylaws of the Issuer; or change their intention with respect to any and all matters referred to in this Item 4; provided, that theReporting Persons will comply with their obligations under the Agreement.
On November 10, 2016, the Issuer entered into an agreement (the“Agreement”) with the Reporting Persons resulting in Mr. Drapkin becoming a member of the Board of Directors of the Issuer (the “Board”).
The following is a brief description of certain terms of the Agreement, such description being qualified in its entirety by reference to thefull text of the Agreement, which is attached as Exhibit 2 hereto and incorporated by reference herein.
Under the terms of the Agreement,(a) the Issuer has agreed, subject to the nonoccurrence of certain events described in the Agreement, as of the date of the Agreement, to (i) increase the size of the Board to seven (7) directors; and (ii) appoint Mr. Drapkin to the Board as amember of the class of directors (Class I) scheduled to be next elected at the annual meeting of the shareholders of the Issuer to be held in 2018 (“2018 Annual Meeting”); (b) the Issuer has agreed, subject to the nonoccurrence of certainevents described in the Agreement, to nominate and recommend that shareholders vote, and solicit proxies, in favor of Mr. Drapkin for election as a director at the annual meeting of the shareholders of the Issuer to be held in 2017; (c) the Issuerhas agreed to (i) appoint Mr. Drapkin to either the Nominating and Corporate Governance Committee of the Board or Compensation Committee of the Board, as determined by the Board, prior to December 13, 2016 and that Mr. Drapkin shall continue to be amember of either committee, as determined by the Board, subject to certain qualifications; and (ii) consider Mr. Drapkin, in good faith, for membership on any committee of the Board that may be constituted to evaluate strategic opportunities ortransactions for the Issuer; (d) the Reporting Persons have agreed during the Standstill Period (as defined below) to cause all shares of Common Stock owned of record or beneficially owned by the Reporting Persons to be present for quorum purposesand be voted (i) in favor of all directors nominated by the Board for election as a director and against the removal of any directors whose removal is not recommended by the Board; (ii) in favor of the Board’s recommendation regardingappointment of the Issuer’s independent registered public accounting firm; and (iii) in favor of the Board’s recommendation with respect to any advisory vote on executive compensation; (e) the Reporting Persons have agreed to abide bycertain standstill provisions during the Standstill Period, including, subject to certain exceptions, to not (i) acquire beneficial ownership of more than 10% of the Common Stock; (ii) engage in activities to control or influence the governance orpolicies of the Issuer, including by submitting shareholder proposals, nominating candidates for election to the Board or opposing candidates nominated by the Board, attempting to call special meetings of the Issuer’s shareholders or solicitingproxies with respect to voting securities of the Issuer; (iii) participate in any “group,” within the meaning of Section 13(d)(3) of the Securities Exchange Act of 1934, as amended, with respect to the Common Stock; (iv) be involved withcertain business combination or extraordinary transactions; (v) disparage the Issuer or any member of the Board or management of the Issuer; (vi) engage in any short sale or derivatives transaction that derives any significant part of its value froma decline in the market price or value of the Issuer’s securities; or (vii) demand or make a request for inspection of the Issuer’s records under the Georgia Business Corporation Code; and (f) Mr. Drapkin has agreed that he will not serveon the board of directors or similar governing body of a competing business while serving as a director of the Issuer.
Under the terms of the Agreement, the Reporting Persons have agreed that Mr. Drapkin willirrevocably tender his resignation as a director of the Issuer (a) effective as of the date, if any, thatthe Reporting Persons do not have beneficial ownership of 3% or more of the outstanding Common Stock; (b) effective as of the date, ifany, that the Reporting Persons materially breach certain provisions of the Agreement; or (c) promptly if the Board resolves not to recommend Mr. Drapkin for election as a director at the 2018 Annual Meeting (in the case of (a) or (b), the Board mayaccept such resignation, in its sole discretion, by majority vote (excluding Mr. Drapkin)).
“Standstill Period” means a periodwhich commenced upon the effective date of the Agreement and will end (a) if the Board recommends Mr. Drapkin for election as a director at the 2018 Annual Meeting, on the date on which Mr. Drapkin ceases to be a member of the Board; (b) if theBoard does not recommend Mr. Drapkin for election as a director at the 2018 Annual Meeting, on the date on which Mr. Drapkin resigns from the Board pursuant to the terms of the Agreement; or (c) such earlier date, if any, on which (i) the Issuermaterially breaches certain provisions of the Agreement; or (ii) the date of Mr. Drapkin’s resignation from the Board as described under clause (a) and (b) of the preceding paragraph.
On November 10, 2016, the Issuer appointed Mr. Drapkin to serve as a director of the Board in Class I.
No Reporting Person has any present plan or proposal which would relate to or to result in any of the matters set forth in subparagraphs(a)-(j) or Item 4 of Schedule 13D except as set forth herein or such as would occur upon completion of any of the actions discussed herein.
Prgx Global, Inc Institutional Sentiment
Latest Security and Exchange filings show 63 investors own Prgx Global, Inc. The institutional ownership in Q3 2015 is high, at 69.30% of the outstanding shares. This is decreased by 4190555 the total institutional shares. 15106927 were the shares owned by these institutional investors. In total 7 funds opened new Prgx Global, Inc stakes, 17 increased stakes. There were 17 that closed positions and 31 reduced them.
Adirondack Research & Management Inc is an institutional investor bullish on Prgx Global, Inc, owning 302279 shares as of Q3 2015 for 0.44% of its portfolio. First Wilshire Securities Management Inc owns 517679 shares or 0.51% of its portfolio. CT Ns Advisors Llc have 2.82% of their stock portfolio for 724375 shares. Further, Keane Capital Management Inc reported stake worth 1.90% of its US stock portfolio. The CA Hcsf Management Llc owns 2083766 shares. Prgx Global, Inc is 8.30% of the manager’s US portfolio.
PRGX Global, Inc. (PRGX), together with its subsidiaries, provides recovery audit and spend analytics services. The Company provides recovery audit, procure-to-pay performance improvement, spend analytics and risk management services principally to large businesses and government agencies. The Company operates through three segments: Recovery Audit Services-Americas, Recovery Audit Services-Europe/Asia-Pacific and Adjacent Services. The Recovery Audit Services-Americas segment represents recovery audit services the Company provides in the United States, Canada and Latin America. The Recovery Audit Services-Europe/Asia-Pacific segment represents recovery audit services it provides in Europe, Asia and the Pacific region. The Adjacent Services segment includes spend analytics (data transformation and cost harmonization), Supplier Information Management (SIM) and Chartered Institute of Purchasing & Supply (CIPS) Sustainability Index (CSI).
SEC Form 13D is filed within 10 days, by anyone who acquires beneficial ownership of 5%+ of any public firm. Activist investors and practices such as: company breakups, hostile takeovers, and change of control events, are permitted for this form filers. A filer must promptly update its 13D filing in case of acquisition or disposition of 1% or more of the securities that are the subject of the filing.
Matthew Drapkin And Steven R. Becker’s Northern Right Capital Management website.
Insitutional Activity: The institutional sentiment increased to 2.29 in Q2 2016. Its up 1.16, from 1.13 in 2016Q1. The ratio is positive, as 6 funds sold all PRGX Global Inc shares owned while 8 reduced positions. 13 funds bought stakes while 19 increased positions. They now own 14.25 million shares or 5.06% more from 13.57 million shares in 2016Q1.
Lsv Asset holds 0% or 184,158 shares in its portfolio. Morgan Stanley accumulated 182,242 shares or 0% of the stock. Jacobs Levy Equity Mgmt Inc, a New Jersey-based fund reported 53,758 shares. Moreover, Spark Investment Mngmt Ltd Limited Liability Company has 0.01% invested in PRGX Global Inc (NASDAQ:PRGX) for 15,600 shares. Moreover, Blackrock Advsrs Ltd Liability has 0% invested in PRGX Global Inc (NASDAQ:PRGX) for 6,115 shares. Federated Incorporated Pa last reported 408 shares in the company. Geode Cap Management Limited Liability Corporation accumulated 0% or 165,233 shares. Grt Capital Ptnrs Ltd Co holds 0.03% of its portfolio in PRGX Global Inc (NASDAQ:PRGX) for 24,883 shares. Dimensional Fund Advisors Lp has 686,547 shares for 0% of their US portfolio. Bridgeway Cap Management has invested 0.04% of its portfolio in PRGX Global Inc (NASDAQ:PRGX). Northern Corp has 0% invested in the company for 41,797 shares. Price T Rowe Associates Md last reported 0% of its portfolio in the stock. Denver Invest Limited Liability Corp holds 0% of its portfolio in PRGX Global Inc (NASDAQ:PRGX) for 11,402 shares. Moreover, Teton has 0.09% invested in PRGX Global Inc (NASDAQ:PRGX) for 182,359 shares. Goldman Sachs Gru holds 0% of its portfolio in PRGX Global Inc (NASDAQ:PRGX) for 54,776 shares.
Insider Transactions: Since October 3, 2016, the stock had 3 insider buys, and 0 selling transactions for $717,204 net activity. $202,500 worth of shares were bought by HEADLANDS STRATEGIC OPPORTUNITIES FUND – LP (THE PARTNERSHIP) on Thursday, November 10.
The stock increased 3.81% or $0.2 on November 16, hitting $5.45. About 121,205 shares traded hands or 160.63% up from the average. PRGX Global Inc (NASDAQ:PRGX) has risen 11.46% since April 14, 2016 and is uptrending. It has outperformed by 6.78% the S&P500.
PRGX Global, Inc. , together with its subsidiaries, provides recovery audit and spend analytics services. The company has a market cap of $123.54 million. The Firm provides recovery audit, procure-to-pay performance improvement, spend analytics and risk management services principally to large businesses and government agencies. It has a 15.07 P/E ratio. The Firm operates through three divisions: Recovery Audit Services-Americas, Recovery Audit Services-Europe/Asia-Pacific and Adjacent Services.
More news for PRGX Global Inc (NASDAQ:PRGX) were recently published by: Globenewswire.com, which released: “PRGX Global, Inc. Announces Second Quarter 2016 Financial Results” on July 26, 2016. Globenewswire.com‘s article titled: “PRGX Global, Inc. Announces Appointment of New Vice President â€“ Analytics …” and published on June 24, 2016 is yet another important article.
According to Zacks Investment Research, “PRGX Global, Inc., formerly PRG-Schultz International, Inc., provides audit, analytics, and advisory services in order to improve client financial performance. The Company’s recovery audit services comprise taking client transaction data, transforming it for analysis, identification of errors, and working with vendors or providers to recover overpaid cash. It audits merchandise purchases, accounts payable, lease and property payments, telecom, freight, marketing and media expenses, taxes, import duties, and healthcare claims. The Company’s analytics services include fraud detection and prevention services, such as detecting, deterring, and preventing fraud; custom analytics services, including discovering the value of unstructured data; benchmarking services; and spend analytic services. Its advisory services consist of working capital optimization, enterprise cost reduction, finance transformation, and corporate performance management. The Company is headquartered in Atlanta, Georgia.”
PRGX Company Profile
PRGX Global, Inc. (PRGX), incorporated on January 24, 1996, together with its subsidiaries, provides recovery audit and spend analytics services. The Firm provides recovery audit, procure-to-pay performance improvement, spend analytics and risk management services principally to large businesses and government agencies. The Firm operates through three divisions: Recovery Audit Services-Americas, Recovery Audit Services-Europe/Asia-Pacific and Adjacent Services. PRGX uses advanced information systems and processes and a technology infrastructure to conduct its audits of clients’ payment transactions.
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