Hedge fund Citadel LLC on Monday told E*Trade Financial Corp (ETFC.O) that it will not press for a special meeting now and give the online broker more time to explore its options. Citadel, the online broker's largest stakeholder, was reacting to news that the company appears to have changed course by hiring Goldman Sachs as an adviser. "In light of the steps announced today, we believe it is appropriate to suspend further shareholder action at this time, including our request for a special meeting of E*Trade's shareholders," Citadel's chief legal officer Adam Cooper wrote in a letter to E*Trade's chief executive. Only two weeks ago the hedge fund demanded that the online broker call a special shareholder meeting, turning up the heat on the company after it failed to comply with many of the $11 billion hedge fund's requests, including firing two directors. The hedge fund also wanted to eliminate the staggered board.
E*TRADE Financial Corporation (E*TRADE) is a financial services company, which provides online brokerage and related products and services to the individual retail investors, under the brand E*TRADE Financial. Shares of ETFC fell by 13.19% or $-1.66/share to $10.93. In the past year, the shares have traded as low as $12.11 and as high as $18.13. On average, 5869190 shares of ETFC exchange hands on a given day and today's volume is recorded at 17586476.
