Speculation over the future of Sotheby’s has been rife since Wall Street hedge fund billionaire Daniel Loeb’s firm Third Point announced it had acquired a 5.7% stake in the firm.
The $156.7m purchase of 3.9m shares,
unveiled last week, follows the acquisition of stakes by two other
active investors, Nelson Peltz of Trian Partners and Mick McGuire
of Marcato Capital.
Mr Loeb has indicated that he will enter
into talks with Sotheby's board about the future of the
First-half results for 2013 showed a
year-on-year fall of 7.7% in profits to $69.4m (£45.4m), with
global sales standing at around 85% that of arch rivals
As reported previously in ATG, Sotheby's
released significantly more information on their website offering
latest set of results than they have done in recent years,
indicating that they have grown in confidence when it comes to
their internet strategy. They have been notably trailing Christie's
on this front in recent years.
Development of Far Eastern markets and private treaty sales,
recent favourable restructuring of debt and the announcement that
their headquarters in both New York and London could be sold if it
made financial sense to do so all highlighted the potential for
realising further value in the company's stock.