Reuters – Telecommunications company North Pittsburgh Systems Inc. (NPSI.O: Quote,Profile, Research) said on Wednesday that its board of directors rejected a proposal from activistinvestors owning a 7.85 percent stake to hire an investment banker to seek the company’s sale.
North Pittsburgh, which operates telecommunications systems in Western Pennsylvania, said the proposal from hedge funds Bulldog Investors, Santa Monica Partners and Monarch Activist Partners was not in the best interest of the company or its shareholders.
The investor group said on Tuesday that it had called on the company in June to hire investment bankers to look at options including a sale, saying the company is undervalued. It pointed out that there is demand for such assets in view of recent sales of regional phone companies.
