Diversified U.S. manufacturer SPX Corp should consider strategic alternatives to boost its stock price, investment firm Relational Investors said in a filing with the U.S. Securities and Exchange Commission on Monday."The company should explore strategic alternatives for better achieving the long-term intrinsic value of the assets," the investment firm said in a filing. Relational disclosed an 8.8 percent stake in the maker of equipment used in food and beverage production, which would make it SPX's largest shareholder, according to Reuters data."Total shareholder returns and profitability have lagged peers' due primarily to excessive prices paid for acquisitions. This growth-at-any-cost strategy destroys shareholder value by overly emphasizing revenue growth over investment returns," Relational said in a filing, adding that the company should avoid future acquisitions unless they provide a better return to shareholders.SPX last year attempted to purchase Gardner Denver Inc, but talks unraveled in December, sources said at the time.
Gardner Denver, Inc. (Gardner Denver) designs, manufactures and markets engineered industrial machinery and related parts and services. Shares of GDI fell by 0.37% or $-0.26/share to $70.58. In the past year, the shares have traded as low as $45.54 and as high as $76.57. On average, 1185290 shares of GDI exchange hands on a given day and today's volume is recorded at 850667.
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