Investors owning over 40% of the issued and outstanding shares of Leaf Group Ltd. ("Leaf Group" or the "Company") (NYSE:LEAF), today released a detailed letter to the Company's board of directors expressing their concern with the current corporate strategy, management team and lack of corporate governance. The list of signatories to the letter includes Osmium Partners LLC, PEAK6 Investments LLC, Boyle Capital Opportunity Fund, LP, Oak Management Corp., Generation Capital Partners II LP, Generation Partners II LLC, Spectrum Equity Investors V, L.P. and Spectrum Equity Associates V, L.P. (together, the "Investors") and is comprised of several of the Company's largest and longest-standing shareholders.
In the letter, the Investors contend that the Company is not realizing its full potential, and there are clear opportunities to unlock shareholder value. In order to address many of the issues plaguing the Company, the Investors call on the board to immediately:
- Remove the Company's CEO,
- Enhance corporate governance by refreshing and de-staggering the board, and
- Sell both the Media and Marketplace assets of the Company.
The full text of the letter to Leaf Group's board of directors can be found in the included PDF.