Press release
Turtle Beach Corporation Responds to Misleading Statements by Donerail Group
The Board Continues to Act in the Best Interests of All Shareholders WHITE PLAINS, N.Y.--(BUSINESS WIRE)-- Leading gaming accessory maker Turtle Beach
About this update from Turtle Beach Corporation
[{"type":"text","content":"\nThe Board Continues to Act in the Best Interests of All Shareholders\n\n WHITE PLAINS, N.Y.--(BUSINESS WIRE)--\nLeading gaming accessory maker Turtle Beach Corporation (Nasdaq: HEAR) (the “Company”), today issued the following response on behalf of its Board of Directors (the “Board”) to misleading statements made by Donerail Group and its representatives (“Donerail”):\n\nThe Board remains committed to dutifully pursuing the best interests of the Company and its shareholders to maximize long-term value:\n\n\nThe Board continues to be open to strategic alternatives that maximize shareholder value. This is a normal, ongoing responsibility which does not necessarily benefit from public disclosures that could be damaging to the continuing operation of the business and employee retention.\n\n\nMaximizing shareholder value with respect to a strategic alternative necessitates a careful weighing of the intrinsic value of the Company’s business against a one-time, near-term “exit” price. Short-term fluctuations in the share price, especially ones that are market or sector-wide, should be understood as such when evaluating the value of a business.\n\n\nThe Board remains highly engaged in overseeing the strategy of the Company, which has generated significant shareholder value (over 350% return in 5 years). As a result of that strategy, the Company is well-positioned for continued value creation, given its commanding leadership in console gaming headsets, successful diversification into new gaming accessory categories and strong profitability and cashflow.\n\n\nThe Board believes this response is necessary to provide its shareholders with accurate information about Donerail’s activities and address its continuing dissemination of false and misleading information. On December 15th, 2021, Donerail claimed in a public statement that it had recently re-affirmed its previously disclosed bid to acquire the Company, while also stating an intention to submit a new proposal that would “likely include an offer at a lower price” than its recently “re-affirmed” price. Donerail further called on the Company to publicly disclose a strategic review process, although it would be “potentially disadvantageous to [its] efforts of acquiring the Company.”\n\nThis contradictory messaging is just the most recent of Donerail’s attempts to mislead investors to a...