Sparton in talks with Lawndale to avoid proxy contest

By Lisa Kerner

Charlotte, N.C., Sept. 8 - Sparton Corp. shareholder Lawndale Capital Management, LLC said it has been in discussions with the company's nominating and governance committee chairman Doug Schrank regarding independent nominee recommendations.

Lawndale said it is seeking a constructive way to avoid a proxy contest, it was reported in a schedule 13D filed with the Securities and Exchange Commission.

According to Lawndale, independent nominees have been scheduled for interviews on Sept. 11 and 12 and Sparton's annual meeting will be held Nov. 12.

In August, Lawndale and its affiliates announced their intention to nominate four individuals for election to Sparton's board of directors:

• Joe Hartnett, president and chief executive officer of Ingenient Technologies;

• Jay B. Hunt, business consultant and president of the Development Group;

• Gerald T. LaFlamme, former interim CEO of Mace Security International, Inc. and current president and CEO of JL Development Co., Inc.; and

• James Swartwout, former co-CEO and a board member of Habasit Holding, the U.S. subsidiary of Habasit AG.

Lawndale, in an Aug. 22 letter to Sparton, asked the company's board to hire experienced turnaround management from outside Sparton and to retain advisers to explore strategic alternatives, including the sale of the company.

Sparton and its subsidiaries provide electronic manufacturing services for government and commercial customers. The company is based in Jackson, Mich.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.