Masimo activist Quentin Koffey says he'll pursue litigation if the health-tech company doesn't provide information on a proposed spinout of a business unit.
Koffey won a seat on Masimo's board in a 2023 proxy battle, and is expected to pursue a second fight for additional control. Masimo acquired consumer audio company Sound United in 2022 for $1 billion, a deal that led to a 37% drop in its stock price the day of the announcement. The purchase was a catalyst for Politan's first proxy fight at the company.
The activist is also seeking information on any financial and leadership opportunities Kiani has been promised at the spinout. The business units Masimo is proposing to spin off are expected to generate between $700 million and $780 million this year, according to the company's most recent guidance.