Steel Partners Opposes CEO-Led Buyout Bid for InMode
Steel Partners calls the InMode management buyout 'value-destructive,' putting the deal in jeopardy.
A major shareholder is pushing back hard. Steel Partners has come out swinging against a CEO-led buyout offer for InMode, labeling the deal "value-destructive" — and that kind of language from an activist investor means the bid has a real fight on its hands.
Management buyouts are already a red flag for minority shareholders. When insiders lead the charge to take a company private, they hold every informational advantage. Steel Partners is essentially saying the offer price doesn't come close to reflecting what InMode is actually worth, and they're not going to sit quietly while the CEO walks away with a bargain.
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For retail traders holding InMode, this is the moment to pay attention. Activist opposition to a buyout can either force a higher bid or blow up the deal entirely. Both outcomes move the stock. Steel Partners clearly believes there's more value on the table than management is willing to admit publicly.
The broader takeaway here is straightforward: when a credible, vocal shareholder calls a buyout "value-destructive," the original offer rarely survives unchanged. Watch for either a sweetened bid, a bidding war from a third party, or a deal collapse. Any of those scenarios reshapes the trade entirely.
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