{"id":385221,"date":"2020-11-19T09:33:12","date_gmt":"2020-11-19T14:33:12","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=385221"},"modified":"2020-11-19T09:33:12","modified_gmt":"2020-11-19T14:33:12","slug":"watermill-asset-management-releases-presentation-detailing-the-case-for-urgent-change-atop-ziopharm-oncology","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/watermill-asset-management-releases-presentation-detailing-the-case-for-urgent-change-atop-ziopharm-oncology\/","title":{"rendered":"WaterMill Asset Management Releases Presentation Detailing the Case for Urgent Change Atop Ziopharm Oncology"},"content":{"rendered":"

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WaterMill Asset Management Releases Presentation Detailing the Case for Urgent Change Atop Ziopharm Oncology<\/b><\/p>\n

Highlights the Incumbent Board\u2019s Anti-Shareholder Practices, Concerning Interconnectivity, and Record of Presiding Over Negative Returns Across Every Relevant Time Horizon<\/i><\/b><\/p>\n

Makes Clear That Ziopharm is on a Path to Financial Ruin as its Capital Position Shrinks, G&A and R&D Costs Rise, and Value-Generating Pipeline Progress Remains Evasive <\/i><\/b><\/p>\n

Reminds Shareholders That the WaterMill Slate has the Business Acumen, Financial Expertise and Relationships, and Commercial Intensity Required to Help Engineer a Turnaround<\/i><\/b><\/p>\n

Urges Shareholders to Vote on the WHITE<\/span> Consent Card to Reconstitute the Board with WaterMill\u2019s Three Aligned, Independent and Qualified Director Candidates<\/i><\/b><\/p>\n

NEW YORK–(BUSINESS WIRE<\/a>)–
\nWaterMill Asset Management Corp. (together with its affiliates, \u201cWaterMill\u201d or \u201cwe\u201d), which collectively with the other participants in its consent solicitation beneficially owns approximately 3.3% of the outstanding shares of Ziopharm Oncology, Inc. (NASDAQ: ZIOP) (\u201cZiopharm\u201d or the \u201cCompany\u201d), today released a 55-page presentation<\/a> that details the case for urgent change in the boardroom and summarizes its director candidates\u2019 value-enhancing vision. As a reminder, WaterMill is seeking to reconstitute Ziopharm\u2019s eight-member Board of Directors (the \u201cBoard\u201d) by removing four incumbent directors and electing three highly-qualified and independent individuals: Robert Postma, Jaime Vieser and Holger Weis.\n<\/p>\n

\nWaterMill encourages shareholders to consent to all of its proposals on the WHITE<\/span><\/b> consent card. We urge shareholders to sign, date, and return each WHITE<\/span><\/b> consent card they receive. Please visit www.FixZiopharm.com<\/a> to download the slate\u2019s presentation<\/a> and learn how to consent.\n<\/p>\n

\nRobert Postma, Principal and Founder of WaterMill, commented:\n<\/p>\n

\n\u201cAs we continue to pursue meaningful change atop Ziopharm, we want shareholders to have a candid and comprehensive evaluation of the Company\u2019s corporate governance, capital allocation decisions, financial positioning, and pipeline progress. Our 55-page presentation includes an array of irrefutable data points and facts pertaining to the incumbent Board\u2019s anti-shareholder attitude, highly-concerning interconnectivity, and record of presiding over hundreds of millions of dollars in value destruction. Our presentation also underscores a sobering reality: Ziopharm\u2019s diminishing cash position and rising burn rate appears to have put the Company on a path to financial ruin. Fortunately, we believe our three-member slate has the business acumen, capital allocation expertise, financing relationships, and commercial creativity required to stave off disaster and spark an enduring turnaround. We are prepared to act with urgency to help ensure Ziopharm has the right financing options, the right capital allocation framework, and the right commercialization opportunities to advance its science and finally deliver value for its shareholders.\u201d\n<\/p>\n

The presentation<\/a> prepared by the WaterMill slate includes specific detail pertaining to the case for change at Ziopharm. In our view, our slate shows how the incumbent Board:\n<\/p>\n

    \n
  1. \nAllows and embraces interlocking director connections, including by just this week appointing a new director (Mary Thistle) with ties to one existing director (Elan Z. Ezickson) and one recently-departed director (Douglas Pag\u00e1n).\n<\/li>\n
  2. \nDisregards sound corporate governance practices, including by not having a majority voting standard in uncontested elections.\n<\/li>\n
  3. \nFacilitates opaque capital raises that blindside and dilute sizable long-term shareholders \u2013 oftentimes in contradiction of Company statements suggesting that cash on hand is sufficient.\n<\/li>\n
  4. \nIgnores the need for a disciplined capital allocation framework, as evidenced by the Company\u2019s skyrocketing research and development costs and rising general and administrative expense figures.\n<\/li>\n
  5. \nMaintains a misaligned executive compensation structure that has enabled c-level leaders to obtain significant incentive pay despite staggering value destruction.\n<\/li>\n
  6. \nMaintains excessive and off-market director compensation for a small, struggling biotechnology entity.\n<\/li>\n
  7. \nPermits internal financial control issues to linger for an entire year without explaining the material weakness to shareholders.\n<\/li>\n
  8. \nPresides over negative returns over one-year, three-year, and five-year horizons without taking effective steps to reverse value destruction.\n<\/li>\n
  9. \nSupports Scott Tarriff, who we believe is a highly-questionable Chairman with a record of concerning lawsuits and poor corporate performance.\n<\/li>\n
  10. \nShuns shareholders\u2019 desire for more transparency pertaining to possible business deals, potential partnerships, and trials.\n<\/li>\n<\/ol>\n

    Our slate\u2019s presentation<\/a> also outlines a strategic vision for helping turn around Ziopharm. If elected to the Board, our director candidates plan to suggest that a Special Committee be formed to conduct a strategic review of the business. The ideal components of this review would include (but are not limited to):\n<\/p>\n