Lion Point Capital Makes Headlines with Activist Campaign at Ally Financial
The New York Times, Bloomberg, Reuters and numerous local and industry media publications have reported on the activist campaign of Olshan client Lion Point Capital at Ally Financial, one of the nation’s largest auto loan providers formerly known as GMAC. Lion Point Capital is seeking representation on Ally’s Board of Directors and has also put forth a proposal that urges Ally’s Board to form a Strategic Alternatives Committee to explore value-maximizing opportunities including the sale of the bank in the event of consistent share price underperformance. The New York Times article noted renewed calls — this time on the presidential campaign trail — to break up the big banks but also commented that Lion Point Capital’s campaign highlights the difficulties activists face in trying to shake up or split up a large, underperforming bank. Steve Wolosky and Meagan Reda represent Lion Point Capital in connection with its activist campaign at Ally Financial.