NEW YORK, Oct 16 (Reuters) - Hedge fund JAT Capital on Monday urged Overstock.com (OSTK.O) to consider selling certain assets and overhauling its management and compensation, warning it may seek board seats if its suggestions are ignored, a regulatory filing on Monday showed.
The hedge fund, run by John Thaler, owns a 9.1% stake in Overstock.com, and made its demands public in the filing after sending a letter outlining its wishes to the company last week.
JAT is not traditionally an activist investor but its filing signaled mounting frustration with the company and left open the option of pursuing strategies like running a proxy contest.
JAT also wants the company to emphasize stock option participation and develop a business plan with financial objectives, the filing said.
"The Reporting Persons may consider to seek Board representation to the extent the above recommendations have not been explored, pursued and executed satisfactorily."
Persons:
Overstock.com, John Thaler, JAT, Svea Herbst, Bayliss, Richard Chang
Organizations:
Bed, Svea, Thomson
Locations:
Overstock.com