Like that delivery guy who takes an hour and a half to deliver your spicy wings, Yelp’s board is suffering from a “lack of urgency.”
That’s according to SQN Investors, a hedge fund that’s looking to shake up the board of the struggling online-reviews site. SQN, which owns 4 percent of Yelp shares, griped in a Monday letter to Yelp’s lack of urgency has cost it market share versus Google and Facebook.
The billion-dollar hedge fund, which hasn’t previously made an activist investment, said it has been disappointed by the company’s financial results missing expectations in 12 of the last 19 quarters. Yelp’s average board tenure is nine years, SQN noted.
Yelp shares rose 3 percent, closing at $35.64 on Monday.
Yelp’s stock dropped 27 percent in a single day last month after its third-quarter revenue fell below Wall Street expectations.