A Masimo Corp. ( NASDAQ: MASI ) activist investor has filed a lawsuit in Delaware after the medical monitoring company added some new bylaws that the activist alleges is trying to thwart its efforts.
Politan Capital, which reported an 8.8% stake in Masimo ( MASI ) in August, filed a lawsuit in the Court of Chancery for the State of Delaware. The suit came in response to bylaws that that Masimo adopted on Sept. 9, a week after the company met with Politan. The MASI board als o adopted a poison pill at the time.
“We are taking this legal action because Masimo has left us no other option for preserving our rights as stockholders," Politan Managing Partner Quentin Koffey said in a statement. ”
Masimo ( MASI ) didn't immediately respond to Seeking Alpha email request for comment.
Politan is said to want to pressure Masimo, a medical monitoring company which supplies pulse oximeters to hospitals, to take actions to improve its stock price after it plunged following an acquisition of a high-end audio equipment company Sound United in February, the WSJ reported in August.
Masimo ( MASI ) shares plunged 37% on Feb. 16, the day after the medical company announced it was purchasing Sound United, which drew much skepticism on Wall Street.
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Masimo investor files lawsuit to block alleged attempt to thwart activist