Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Cannell Capital Is Loading Its Activism Cannon For A Volley At Envivio Inc (ENVI)

Page 1 of 2

J. Carlo Cannell‘s Cannell Capital holds about 1.70 million shares of Envivio Inc (NASDAQ:ENVI) valued at $3.0 million through its affiliated funds. The holding represents about 6.12% of the company’s outstanding shares. In a recent filing with the Securities and Exchange Commission, Carlo Cannell has outlined his plan for a ‘vote no’ campaign against Envivio Inc (NASDAQ:ENVI), whereby shareholders will be urged to withhold votes in the upcoming re-election of the company’s directors. The fund manager plans to post a lengthy presentation outlining how the current board members have destroyed shareholder value. Cannell plans to follow up with a dissident proxy solicitation in the 2016 election.

Carlo Cannell

Carlo Cannell graduated from Princeton University, and worked at Dakin Securities, an investment bank in San Francisco before he launched his own fund in 1992. The market value of Cannell’s public equity portfolio stood at $319.86 million at the end of the first quarter, with the technology sector representing 33% of the holdings.

J. Carlo Cannell
J. Carlo Cannell
Cannell Capital

Following activist funds like Cannell Capital is important because it is a very specific and focused strategy in which the investor doesn’t have to wait for catalysts to realize gains in the holding. A fund like Cannell can simply create its own catalysts by pushing for them through negotiations with the company’s management and directors. In recent years, the average returns of activists’ hedge funds has been much higher than the returns of an average hedge fund. Furthermore, we believe do-it-yourself investors have an advantage over activist hedge fund investors because they don’t have to pay 2% of their assets and 20% of their gains every year to compensate hedge fund managers. We have found through extensive research that the top small-cap picks of hedge funds are also capable of generating high returns and built a system around this premise. In the 33 months since our small-cap strategy was launched it has returned over 142% and beaten the S&P 500 ETF (SPY) by more than 84 percentage points (read more details). Soon, we’ll be releasing a new quarterly newsletter written by former activist hedge fund analyst Michael Bland that tracks ten or so activist campaigns at any given time.

Cannell initiated a position in Envivio Inc (NASDAQ:ENVI) during the second quarter of 2013 with just 54,700 shares, which it built upon in the following quarters. The fund manager’s main contention with the company’s management is fairly obvious. Envivio Inc (NASDAQ:ENVI) has been posting losses for the last three fiscal years, while turning a paltry profit of $140,000 in the year just before the current trend.

Established in 2000, Envivio Inc (NASDAQ:ENVI) is one of the pioneers in the video-over-IP technology that forms the backbone of today’s content delivery businesses. The company’s clients include content owners, telecom operators, and cable & satellite companies.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!