Vail Resorts' biggest investor backs company in fight with activist Oasis
MTN•Baron Capital, Vail Resorts' largest investor with an 18% stake at the end of June, will vote for the company's board nominees in next month's election. Activist investor Oasis, which held a 9% stake at the end of September, has nominated four candidates and is pushing for changes including possible mountain-asset sales.
1. Baron backs Vail board
Ron Baron said Baron Capital will back Vail Resorts' management at next month's board election and vote for its nominees. He said he believes CEO Rob Katz “has the right strategy to return to sustainable earnings growth.”
2. Oasis pushes for changes
Oasis, Vail's fourth-largest shareholder with a 9% stake at the end of September, nominated four director candidates in September, including former Olympic ski champion Picabo Street and former Walt Disney CEO Bob Chapek. The activist is pressing for operational changes, including the possible sale of some mountain assets, while Vail is urging investors to vote for its nine directors.
3. Baron criticizes Park City effort
Baron said he has serious concerns about Oasis' coordination with Cloudflare CEO Matthew Prince, who has been pushing to buy Park City Mountain Resort from Vail. Baron called Prince's effort “short-sighted and destructive to long-term shareholder value.” Vail said last month that full fiscal-year profit nearly halved from a year earlier, with record low snowfall bringing fewer guests to its mountains.
