Embattled CTPartners faces potential takeover by rival

Written By Unknown on Senin, 23 Februari 2015 | 23.16

CTPartners, the embattled Wall Street head-hunting firm at the center of a sexual discrimination complaint, now has a takeover-hungry rival as its fourth-largest shareholder as acquisition talks have entered into a third week.

The rival firm, Chicago-based DHR International, owns 5 percent of CTPartners' stock, the company said on Monday.

That puts DHR's stake in New York-based CTP just a few notches smaller than reclusive investor Austin Marxe and the company's CEO Brian Sullivan — the two largest shareholders in the company.

Sullivan and CTP made headlines last year after The Post reported allegations of a boozy, nude romp at a company function held at Sullivan's Florida waterfront estate — allegations contained in a complaint filed with the Equal Employment Opportunity Commission, a copy of which was obtained by The Post.

News of the EEOC on Dec. 8 complaint sent CTPartners shares down nearly 20 percent, to $14.00. The shares continued to fall over the next seven weeks — and closed at $4.35 on Jan. 29.

DHR announced on Feb. 5 that it hoped to buy CTPartners for $7.00 a share. Since then, the company has hovered at or around that price, closing on Friday at $6.71. It was trading at $6.62 a share early Monday.

There has been little news from either company since on the proposed acquisition and it is unclear how talks between DHR and CTP are progressing.

"Lawyers are negotiating non-disclosure agreements," David Hoffmann, chairman of DHR, told The Post on Feb. 17.

Derek Creevey, a spokesman for CTPartners, didn't immediately return a request for comment.


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