Windward Management Issues Letter to NETGEAR Board Strongly Advising the Immediate Repurchase of at Least 25% of the Shares Outstanding (~$100M) & the Formation of a Strategic Review Committee to Examine Splitting off and/or Selling the NFB Segment
As of the end of Q1 2024, NETGEAR has over $289mm of cash and short-term investments on its balance sheet vs. a current market capitalization of ~$370mm.
- As of the end of Q1 2024, NETGEAR has over $289mm of cash and short-term investments on its balance sheet vs. a current market capitalization of ~$370mm.
- We urge the Company to create a strategic review committee to explore splitting up its Connected Home and NETGEAR for Business (NFB) segments.
- NFB has consistently posted contribution margins of 20% with double-digit revenue growth, prior to last year’s destocking anomaly and supply chain issues.
- It’s unacceptable to sit on the sidelines with the magnitude of liquidity NETGEAR has at its disposal and with where shares currently trade.