Bloomberg News

Olympus’ No.3 Shareholder Requests Explanation About Gyrus Deal

October 21, 2011

Oct. 21 (Bloomberg) -- Southeastern Asset Management Inc., the third-largest shareholder of Olympus Corp., sent a letter yesterday to the company’s board seeking more information about acquisitions including that of Gyrus Group Plc.

The Memphis, Tennessee-based asset management company that has invested in Olympus since 2004, requested answers from the endoscope maker by Nov. 16, according to Josh Shores, a London- based principal for Southeastern, which manages about $30 billion in assets.

Southeastern joins Nippon Life Insurance Co. and Harris Associates LP in urging Olympus to respond to allegation made by the company’s former chief executive officer Michael C. Woodford who commissioned a report that said the company may face regulatory and legal scrutiny because of payments made to advisers in the acquisition of Gyrus in 2008.

“We have been disappointed by the development that resulted in Mr. Woodford’s removal and subsequent public allegations that have come out that cannot be ignored,” Shores said in a phone interview today. “ We are very disturbed and frustrated. We don’t have answers to those public allegations so these are very serious issues.”

A letter was also sent to Tokyo-based Olympus’ auditors and regulators including Japan’s Financial Services Agency and the Tokyo Stock Exchange, he said.

--Editor: Peter Langan

To contact the reporter on this story: Mariko Yasu in Tokyo at myasu@bloomberg.net. Chris Cooper in Tokyo at ccooper1@bloomberg.net;

To contact the editor responsible for this story: Peter Langan at plangan@bloomberg.net


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