About Us

Laser Focus World is an industry bedrock—first published in 1965 and still going strong. We publish original articles about cutting-edge advances in lasers, optics, photonics, sensors, and quantum technologies, as well as test and measurement, and the shift currently underway to usher in the photonic integrated circuits, optical interconnects, and copackaged electronics and photonics to deliver the speed and efficiency essential for data centers of the future.

Our 80,000 qualified print subscribers—and 130,000 12-month engaged online audience—trust us to dive in and provide original journalism you won’t find elsewhere covering key emerging areas such as laser-driven inertial confinement fusion, lasers in space, integrated photonics, chipscale lasers, LiDAR, metasurfaces, high-energy laser weaponry, photonic crystals, and quantum computing/sensors/communications. We cover the innovations driving these markets.

Laser Focus World is part of Endeavor Business Media, a division of EndeavorB2B.

Laser Focus World Membership

Never miss any articles, videos, podcasts, or webinars by signing up for membership access to Laser Focus World online. You can manage your preferences all in one place—and provide our editorial team with your valued feedback.

Magazine Subscription

Can you subscribe to receive our print issue for free? Yes, you sure can!

Newsletter Subscription

A Laser Focus World newsletter subscription is free to qualified professionals:

The Daily Beam

Showcases the newest content from Laser Focus World, including photonics- and optics-based applications, components, research, and trends. (Daily)

Product Watch

The latest in products within the photonics industry. (9x per year)

Bio & Life Sciences Product Watch

The latest in products within the biophotonics industry. (4x per year)

Laser Processing Product Watch

The latest in products within the laser processing industry. (3x per year)

Get Published!

If you’d like to write an article for us, reach out with a short pitch to Sally Cole Johnson: [email protected]. We love to hear from you.

Photonics Hot List

Laser Focus World produces a video newscast that gives a peek into what’s happening in the world of photonics.

Following the Photons: A Photonics Podcast

Following the Photons: A Photonics Podcast dives deep into the fascinating world of photonics. Our weekly episodes feature interviews and discussions with industry and research experts, providing valuable perspectives on the issues, technologies, and trends shaping the photonics community.

Social Media

Bluesky • Facebook • Instagram • LinkedIn • YouTube

Meet the Laser Focus World Team

Editorial

Sales

Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology
My Watchlist
Indicators
Industrial Laser Index
Markets
Stocks
ETFs
Tools
Markets:
Overview
News
Currencies
International
Treasuries

Engine Capital Announces Its Intent to Support PrimeStone’s Director Candidates at Brenntag’s Upcoming Annual Meeting

By: via Business Wire

Issues Open Letter to Shareholders Outlining Concerns with the Continued Underperformance of Brenntag Specialties and the Supervisory Board’s Unwillingness to Meaningfully Engage with Investors Regarding Ideas to Unlock Value

Engine Capital LP (together with its affiliates, “Engine” or “we”), is a meaningful shareholder of Brenntag SE (XETRA: BNR) (“Brenntag” or the “Company”), owning approximately 1% of the Company’s outstanding shares. Today, Engine issued an open letter to Brenntag's shareholders announcing its intent to support the two director candidates proposed by shareholder PrimeStone Capital LLP (“PrimeStone”) – Joanna Dziubak and Geoff Wild – at the Company’s upcoming Annual General Meeting (the “Annual Meeting”) scheduled to be held on June 15, 2023.

The full text of the letter follows:

May 24, 2023

Fellow Shareholders:

Engine is a value-oriented investment fund whose principals have significant experience investing in chemical distributors, including prior investments in Univar Solutions (“Univar”) and Nexeo Solutions. On February 14, 2023, we sent a letter to members of the Supervisory Board of Directors (the “Supervisory Board”) urging them to publicly commit to separating Brenntag Specialties from Brenntag Essentials and to provide a timeline for a separation that would help both businesses realize their full potential. Importantly, our letter encouraged the Supervisory Board to establish a meaningful share repurchase program and add shareholder representatives to the boardroom.

Since then, our efforts to engage with Brenntag over the composition of the Supervisory Board, the Company’s current strategy or the merits of a possible separation of the businesses have been met with resistance, including responses that a separation would be too disruptive. This commentary is particularly ironic considering this is the same Supervisory Board that approved the unsolicited Univar acquisition proposal, which would have been significantly more disruptive to the organization if it had been completed. We also note our concern with the Supervisory Board’s apparent entrenchment given its refusal to consider and interview the highly qualified director candidate we recommended. These actions, among others, indicate that shareholder-designated directors are urgently needed to ensure the Supervisory Board reviews Brenntag’s current strategy with fresh eyes and an open-minded perspective.

We believe that the two director candidates nominated by PrimeStone – Joanna Dziubak and Geoff Wild – have the relevant industry knowledge and the right financial expertise to independently evaluate all steps necessary to optimize both businesses and maximize long-term value at Brenntag. Engine also intends to vote in favor of shortening the term of Supervisory Board members’ board service to two years, as we believe it will improve accountability and bring Brenntag’s governance closer to best practices.

It is worth noting that Brenntag’s recently announced first quarter results further signal the Supervisory Board’s current “conglomerate” strategy is flawed. Brenntag’s Specialties gross profit and EBITA declined year-over-year by 9.2% and 26.2%, respectively, compared to positive organic growth at IMCD and Azelis Group, Brenntag Specialties’ pure-play competitors. These results highlight the widening underperformance of the Company’s Specialties business versus its pure-play peers, despite the Supervisory Board’s claims of improving performance in this segment.

Recent initiatives pursued by management and the Supervisory Board (such as Horizon 2) do not address the fundamental issue facing Brenntag today: the core capabilities of a specialty distributor are different from those of an essentials distributor. By keeping the division inside Brenntag, Brenntag Specialties is not perceived by customers, suppliers, employees or potential acquisition candidates as a pure-play specialties business. This is putting Brenntag Specialties at a significant competitive disadvantage and causing the business to lose market share to its pure-play competitors. A separation of the businesses would allow Brenntag Specialties to reach its full potential and obtain a similar valuation multiple to its pure-play peers over time – all while unlocking value for Brenntag stakeholders.

Others – including a recent Citigroup report – seemingly agree: “Brenntag Specialties achieved Q1 EBITDA / GP conversion margin of 42.2%, weaker than IMCD (52%), despite scale advantages. Topline momentum was also less strong at Brenntag Specialties with est. Q1 organic GP growth of -10% vs +9% at IMCD. The case for a full separation of Essentials and Specialties remains compelling, we think, as it appears that pure-play operators tend to perform better, grow faster and deliver higher returns.”

We continue to believe that the value creation opportunity at Brenntag is significant. As a first step, we look forward to supporting PrimeStone’s director candidates – Joanna Dziubak and Geoff Wild – at the upcoming Annual Meeting.

Sincerely,

 

 

 

Arnaud Ajdler

Brad Favreau

Managing Partner

Partner

***

About Engine Capital

Engine Capital is a value-oriented special situations fund that invests both actively and passively in companies undergoing change.

Contacts

More News

View More
SoundHound Breaks Critical Resistance: How High Can It Get Now?
Via MarketBeat
Topics Artificial Intelligence
Tickers SOUN
Klarna IPO: BNPL Stock or Something Bigger?
Via MarketBeat
Topics Artificial Intelligence Initial Public Offering
Tickers AFRM KLAR
Why Teradyne Is a Core Play in the AI Hardware Boom
Via MarketBeat
Topics Artificial Intelligence Economy
Tickers TER
Meta Debuts Next-Gen AI Glasses—A Turning Point for Reality Labs?
Via MarketBeat
Topics Artificial Intelligence
Tickers AAPL META
How IREN is Building an AI Powerhouse on a Bitcoin Foundation
Via MarketBeat
Topics Artificial Intelligence Supply Chain
Tickers IREN NVDA
Stock Quote API & Stock News API supplied by www.cloudquote.io
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms Of Service.