The shareholders demand that Mellanox cancel the decision to delist, and give the petitioners material related to the decision.
The decision by Mellanox Technologies Ltd. (Nasdaq:MLNX; TASE:MLNX) to delist from the TASE continues to make waves. Today, lawyers representing investors sent a letter threatening a class-action suit against the company, which plans to delist from the TASE in September.
"The company's board of directors should have prevented Eyal Waldman [Mellanox's chairman, president and CEO] from exercising his childish caprices, and made it clear to him that it is absolutely unacceptable to delist the company for reasons of caprice and games of ego," states the letter. "We find is astonishing and serious that the board of directors of such a respected and successful company lent their support to such an embarrassing and childish act, which is liable to cause the company and its shareholders serious damage."
In the letter, the shareholders demand that Mellanox cancel the decision to delist, give the petitioners material related to the decision, and compensate the shareholders, because the announcement of the delisting "caused the shareholders huge losses amounting to hundreds of millions of shekels."
Published by Globes [online], Israel business news - www.globes-online.com - on June 5, 2013
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