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Reservoir Media Investor Says Company Is ‘Undervalued,’ Calls for Strategic Review

A Reservoir Media investor has called the company "undervalued" and requested a strategic review "of all alternatives to maximize shareholder value."

Irenic Capital Management LP, a Manhattan-based hedge fund, has taken an 8.1% stake in Reservoir Media and believes the music company is “undervalued,” according to a regulatory filing dated Monday (Sept. 30). Described as an “activist investor” by The Wall Street Journal, Irenic called on Reservoir to “undertake a full strategic review of all alternatives to maximize shareholder value and to form a special committee to the Board to oversee such a process.” In explaining the move to take it private, Believe CEO DenisLadegaillerie said the company had “outperformed its objectives” but its success “has not been reflected in the share price evolution.”

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