Things are hotting up between Daniel Loeb, his allies and Sotheby’s managment:
Mr. Loeb’s lawsuit says Sotheby’s so-called poison pill unfairly hampers his effort to shake up the company’s board. The pill limits investors like Third Point, who seek to influence boards, to smaller stakes than passive investors can acquire, a distinction that Mr. Loeb said “illegitimately tilts the playing field in the board’s favor.” […]
“The poison pill is not a reasonable corporate response to a takeover threat, but rather an improper attempt to thwart Third Point’s proxy contest and ensure that the current board members remain firmly entrenched,” Mr. Loeb said in his complaint, filed Tuesday in the Delaware Court of Chancery. The suit says he sought last week to boost his stake to 20% but was rejected.