Brightcove Director Election Results Indicate That Less Than a Majority of Outstanding Shares Supported the Election of David Mendels and Derek Harrar at the 2017 Annual Meeting
Given Last-Minute Nature of Call-to-Action, These Results Represent a Vote of No-Confidence in Brightcove's Leadership and Tenzing Global Demands Immediate Changes
SAN FRANCISCO, May 12, 2017 /PRNewswire/ -- Tenzing Global Management, LLC ("Tenzing Global"), a significant, long-term stockholder of Brightcove, Inc. (Nasdaq: BCOV) ("Brightcove" or the "Company"), today reiterated its demand that the Board ask for the immediate resignation of David Mendels as CEO and director of Brightcove, given the results at the 2017 Annual Meeting.
Tenzing Global urged stockholders to reject the following directors:
- David Mendels, Chief Executive Officer of Brightcove and a director since October 2008
- Derek Harrar, a director since January 2014
The votes tallied from the 2017 Annual Meeting show that immediate change is warranted: less than a majority of outstanding shares supported the re-election of the Company's CEO:
| Votes For |
||||||
| Year |
Director |
Votes For |
% of common |
Votes |
Broker |
Common Stock |
| 2017 |
David Mendels |
15,753,486 |
46.0% |
9,834,457 |
5,372,728 |
34,239,755 |
| Derek Harrar |
15,727,695 |
45.9% |
9,860,248 |
5,372,728 |
34,239,755 |
|
| 2014 |
David Mendels |
20,866,627 |
65.1% |
309,635 |
6,685,867 |
32,038,029 |
| Derek Harrar |
21,010,914 |
65.6% |
165,348 |
6,685,867 |
32,038,029 |
|
Chet Kapoor, Portfolio Manager and Managing Partner of Tenzing Global, said, "Only two days prior to the Annual Meeting, we publicly demanded change and urged fellow stockholders to reject the re-election of CEO David Mendels and Derek Harrar. The stockholders spoke, with each director failing to receive the support of a majority of outstanding shares and a company record-setting number of votes withheld. It has become clear that the Company's stockholders share our deep frustration with the status quo and demand change now, including replacing a struggling CEO and ineffective Board members."
Mr. Kapoor continued, "To have lost such a significant amount of support in only a couple days serves to show the level of discontent with CEO David Mendels and the Board. We believe this discontent will only grow. We urge the Board to ask for the immediate resignation of Mr. Mendels as CEO, and to reconstitute itself with new directors who have a vested interest in creating sustainable stockholder value over the long-term. These new directors should lead the CEO search process to retain a proven executive at generating profitable growth. We are confident that large, long-term stockholders agree with Tenzing Global. We would like to reiterate that our concern pertains only to the struggling CEO and Board at Brightcove, and not to the Company or its dedicated employees, which we believe provide the leading online video platform and solutions."
About Tenzing Global Management
Tenzing Global Management, LLC is an independent investment firm founded in 2011 based in San Francisco.
Contact Details
Chet Kapoor & Asher Qureshi
Tenzing Global Management, LLC
(415) 645-2400
SOURCE Tenzing Global Management, LLC
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