Activist investor Plantro Ltd has called on Canadian tech and services group Calian to consider a sale of all or part of its business, arguing that the company’s undervalued shares could benefit from a strategic reset, according to a report by Bloomberg.
The reports cites a letter to shareholders of Jersey-based Plantro, which is led by former Dye & Durham CEO Matthew Proud and holds more than 5% of Calian’s stock, as saying that the it has engaged with what it believes to be a majority of investors supportive of “meaningful, near-term changes to unlock value.”
Calian operates across healthcare, IT and cybersecurity, advanced manufacturing, satellite technologies, and defence training, with clients ranging from the Canadian government to NATO and Lockheed Martin. Plantro sees global tailwinds in defence budgets, particularly in Canada and Europe, as a catalyst to re-weight Calian’s portfolio toward higher-margin divisions while divesting underperforming units such as IT and cyber.
The activist has urged the company to launch confidential talks exploring options from asset sales to a full takeover. Calian’s shares jumped 8.1% on Wednesday – their steepest intraday gain since 2020 – though they remain up just 7% year-to-date compared with a 15% rise in the Canadian benchmark index.
Calian responded by saying its board and management remain focused on long-term value creation, citing recent steps including business unit consolidation, board refreshment, and a review of non-core assets.
The reports cites a letter to shareholders of Jersey-based Plantro, which is led by former Dye & Durham CEO Matthew Proud and holds more than 5% of Calian’s stock, as saying that the it has engaged with what it believes to be a majority of investors supportive of “meaningful, near-term changes to unlock value.”
Calian operates across healthcare, IT and cybersecurity, advanced manufacturing, satellite technologies, and defence training, with clients ranging from the Canadian government to NATO and Lockheed Martin. Plantro sees global tailwinds in defence budgets, particularly in Canada and Europe, as a catalyst to re-weight Calian’s portfolio toward higher-margin divisions while divesting underperforming units such as IT and cyber.
The activist has urged the company to launch confidential talks exploring options from asset sales to a full takeover. Calian’s shares jumped 8.1% on Wednesday – their steepest intraday gain since 2020 – though they remain up just 7% year-to-date compared with a 15% rise in the Canadian benchmark index.
Calian responded by saying its board and management remain focused on long-term value creation, citing recent steps including business unit consolidation, board refreshment, and a review of non-core assets.
