News & Resources

Activist Client Starboard Urges Office Depot to Explore Sale of its Joint Venture Interest in Mexico

February 27, 2013

The Wall Street Journal, Reuters, Bloomberg and other national media reported on a press release and letter issued by Starboard, the largest common shareholder of Office Depot (ODP), restating its belief that the significant value of ODP’s 50% joint venture interest in Office Depot de Mexico is not fully reflected in ODP’s stock price. Starboard urged the Board to promptly obtain consent from OfficeMax under the ODP-OfficeMax merger agreement to immediately explore a sale of the Mexico JV Interest to maximize value for shareholders. Last week, ODP announced it would merge with smaller rival OfficeMax Inc. in a $976 million all-stock deal. ODP has confirmed it received an offer from its partner in Mexico, Grupo Gigante, to buy ODP out of the joint venture for $690 million. Steve Wolosky, Andrew M. Freedman, and Aneliya S. Crawford represent Starboard in connection with its activist investment at Office Depot.