Case Study: Aerojet Rocketdyne Successful Takeover Defense
Aerojet Rocketdyne (AJRD) develops and manufactures advanced propulsion and energetics systems, including Javelin and Stinger missile engines, NASA vehicle propulsion and power systems, and other systems for customers in the United States and abroad.
In February 2022, Warren Lichtenstein, AJRD’s executive chair and founder of an activist hedge fund, launched a proxy fight and litigation aimed at replacing the AJRD directors without ties to his hedge fund. The AJRD’s eight-member Board was evenly split between Mr. Lichtenstein and his three allies, and CEO Eileen Drake, who was supported by three independent directors.
Each side nominated a separate slate of directors for shareholder consideration at the 2022 annual meeting.