CHICAGO, Oct. 8, 2015 /PRNewswire/ -- Driehaus
Capital Management, a Chicago-based investment adviser of funds that
own 1,000,113 shares of Towers Watson & Company (NASDAQ: TW),
released an open letter to its fellow TW shareholders addressing
four questions regarding TW's proposed transaction with Willis
Holdings Group plc (NYSE: WSH). The full letter is available on its
website.
The four investor questions and concerns regarding the
value destructive deal are:
Question #1:
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Was this really
the best deal out there for TW shareholders? Was 9% less than
market value really the best possible offer?
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Question #2:
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Does TW management
have 'skin in the game?' Are incentives aligned?
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Question #3:
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Can TW
shareholders get more equity in the deal without jeopardizing the
tax benefits of the deal? Namely, the deal is currently structured
so that TW shareholders will own 49.9% of the pro forma company—if
that crosses the 50% threshold, do the benefits
disappear?
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Question #4:
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Is there room on
the balance sheet for an increase to the special dividend for
Towers Watson shareholders? If the special dividend was increased,
how would the combined company's leverage profile compare to Willis
Group's current leverage profile?
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Driehaus Capital Management believes the transaction
proposed by Willis Group Holdings will destroy value for Towers
Watson & Company's shareholders. For a comprehensive review of
the transaction, we urge shareholders to read our September 14,
2015 letter to shareholders and the analysis provided in our white
paper.
Once again, we urge fellow shareholders to vote against
this proposal.
Sincerely,
K.C. Nelson
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Matthew
Schoenfeld
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Portfolio Manager, Alternative
Strategies
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Assistant Portfolio
Manager
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Driehaus Capital Management LLC
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Driehaus Capital
Management LLC
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About Driehaus Capital Management
Driehaus Capital
Management LLC is a privately-held, independent investment adviser
with $9.7 billion in assets under
management as of September 30, 2015.
The firm manages global, emerging markets, and US growth equity,
hedged equity, and alternative investment strategies. Founded in
1982 by Richard H. Driehaus, the
firm serves a diverse institutional client base comprised of
corporate and public pensions, endowments, foundations,
sub-advisory, financial advisors and family offices,
globally.
For more information, please visit
www.driehaus.com.
This material is for general informational purposes only
and is not intended to be relied upon as investment advice. The
opinions expressed are those of Driehaus Capital Management LLC
("Driehaus") as of October 7, 2015
and are subject to change at any time due to changes in market or
economic conditions.
The information and opinions contained in this material
are derived from proprietary and non-proprietary sources deemed by
Driehaus to be reliable and are not necessarily all inclusive.
Driehaus does not guarantee the accuracy or completeness of this
information. There is no guarantee that any forecasts made will
come to pass. Reliance upon information in this material is at the
sole discretion of the reader.
Driehaus is the investment adviser for funds that own
1,000,113 shares of Towers Watson & Co. (TW) and have sold
short shares of Willis Group Holdings plc (WSH) as of October 7, 2015. Holdings are subject to change,
and Driehaus may buy shares of TW or WSH or sell, including sell
short, shares of TW or WSH at any time. The discussion of
securities should not be viewed as a recommendation to buy, sell or
hold any particular security.
Driehaus is not soliciting proxies relating to the TW
shareholder meeting and does not have the authority to vote your
proxy. Driehaus urges TW shareholders to vote against the proposed
transaction.
Media Contact:
Bradley Dawson
Vice President, Marketing and Product Development
312.587.3844
bdawson@driehaus.com
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/driehaus-capital-management-issues-open-letter-to-towers-watson-shareholders-addressing-four-questions-about-the-proposed-transaction-with-willis-holdings-300156734.html
SOURCE Driehaus Capital Management