{"id":845899,"date":"2025-05-02T07:06:26","date_gmt":"2025-05-02T11:06:26","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/impactive-capital-issues-letter-to-wex-inc-shareholders-announcing-its-intention-to-vote-against-three-directors-at-2025-annual-meeting\/"},"modified":"2025-05-02T07:06:26","modified_gmt":"2025-05-02T11:06:26","slug":"impactive-capital-issues-letter-to-wex-inc-shareholders-announcing-its-intention-to-vote-against-three-directors-at-2025-annual-meeting","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/impactive-capital-issues-letter-to-wex-inc-shareholders-announcing-its-intention-to-vote-against-three-directors-at-2025-annual-meeting\/","title":{"rendered":"Impactive Capital Issues Letter to WEX Inc. Shareholders Announcing Its Intention to Vote Against Three Directors at 2025 Annual Meeting"},"content":{"rendered":"
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\n Plans to Vote Against Jack VanWoerkom, Melissa Smith, and James Neary<\/em>
\n <\/strong>\n <\/p>\n

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\n Confident Company can Deliver Value to All Stakeholders with the Right Leadership and Strategy<\/em>
\n <\/strong>\n <\/p>\n

NEW YORK, May 02, 2025 (GLOBE NEWSWIRE) — Impactive Capital, LP, together with its affiliates, one of the largest shareholders of WEX Inc. (NYSE:WEX) (the \u201cCompany\u201d) with an ownership interest of approximately 7.0% today issued an open letter to the Company\u2019s shareholders.<\/p>\n

The full text of the letter is set forth below:<\/p>\n

\n Dear Fellow Shareholders,<\/strong>\n <\/p>\n

Impactive Capital LP (together with its affiliates, \u201cImpactive\u201d or \u201cwe\u201d) is a large and longstanding shareholder of WEX Inc. (\u201cWEX\u201d or the \u201cCompany\u201d), beneficially owning approximately 7.0% of the shares outstanding. As one of WEX\u2019s largest and most committed shareholders \u2014 our ownership position is more than five times that of the entire board of directors (the \u201cBoard\u201d) and executive officers combined\u2014 we are deeply invested in the Company\u2019s long-term success. We believe that with the right change and improved shareholder alignment, WEX can deliver significant value to all stakeholders.<\/p>\n

As further detailed below, we have privately and constructively engaged with the Board and management for the past four years. At the end of 2024 and after a period of deteriorating performance, we requested that an Impactive representative be added to the Board to bring a much-needed shareholder perspective. Unfortunately, the Board and management have seemingly ignored our feedback and refused to act with sufficient urgency to address the ongoing issues at the Company.<\/p>\n

Accordingly, we have determined that it is necessary to vote AGAINST <\/strong>three incumbent directors \u2014 Jack VanWoerkom, Melissa Smith, <\/strong>and James Neary<\/strong> \u2014 to send a clear message that refreshed Board representation, including a shareholder voice, is urgently needed.\u00a0\u00a0 We believe this is the only meaningful way for us as a large shareholder to demand necessary change at WEX.<\/p>\n

\n A Business with Strong Foundations and Untapped Potential<\/strong>\n <\/p>\n

Our WEX investment in 2021 was grounded in a conviction that WEX has strong market positioning, attractive assets, pricing power, and durable competitive advantages. We continue to firmly believe in WEX\u2019s core strengths and long-term potential.<\/p>\n

However, the gap between WEX\u2019s intrinsic value and its stock price performance has widened materially over time. Over the past 12 years, WEX has underperformed both its closest peer, Corpay, Inc. (\u201cCPAY\u201d), by over 250 percentage points and the S&P 400 by over 120 percentage points. Both WEX and CPAY began this period with similar assets and positioning, suggesting that the growing divergence is evidence of inferior capital allocation, operational performance, and strategic oversight. The performance gap between WEX and CPAY has only widened in the last year, when WEX\u2019s shareholder returns have trailed CPAY by over 40 points. Despite these troubling results, the Board has proposed no changes to its composition and refused to allow real shareholder representation in its ranks. This underperformance underscores why we are taking a stand against the status quo at this year\u2019s annual meeting.<\/p>\n

\n \n <\/p>\n

\n Our Approach: Constructive Engagement<\/strong>\n <\/p>\n

For the past four years, and with greater urgency over the past twelve months, we have sought to engage constructively with the Board. We have shared detailed proposals to enhance corporate governance, optimize capital allocation, simplify the business, and improve operations.<\/p>\n

Last year, in the spirit of collaboration, we requested one Board seat for an Impactive representative. We viewed this as a modest and proportionate step to strengthen alignment between the Board and WEX\u2019s long-term investors. Disappointingly, the Board has thus far dismissed this reasonable request\u2014 not only from us but from other concerned shareholders who have independently reached out in support of adding Impactive\u2019s voice to the Board.<\/p>\n

\n Our Plan<\/strong>\n <\/p>\n

We believe the Company is at a critical juncture and change is desperately needed to improve its current trajectory. Accordingly, at this year\u2019s annual meeting, we intend to vote AGAINST<\/strong> three directors who have presided over long-term underperformance:<\/p>\n