UNITED STATES
SECURITIES AND EXCHANGE
COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
(Rule 13d-101)
INFORMATION TO BE INCLUDED
IN STATEMENTS FILED PURSUANT
TO § 240.13d-1(a)
AND AMENDMENTS THERETO FILED PURSUANT TO
§ 240.13d-2(a)
(Amendment No. )1
Barnes Group Inc.
(Name
of Issuer)
Common Stock, par value $0.01 per share
(Title of Class of Securities)
067806109
(CUSIP Number)
IRENIC CAPITAL MANAGEMENT LP
767 Fifth Avenue, 15th Floor
New York, New York 10153
ANDREW FREEDMAN
OLSHAN
FROME WOLOSKY LLP
1325
Avenue of the Americas
New
York, New York 10019
(212)
451-2300
(Name, Address and Telephone Number of Person
Authorized to Receive Notices
and Communications)
January 18, 2024
(Date of Event Which Requires
Filing of This Statement)
If
the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule
13D, and is filing this schedule because of §§ 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following
box ¨.
Note: Schedules
filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See
§ 240.13d-7 for other parties to whom copies are to be sent.
1
The remainder of this cover page shall be filled out for a reporting person’s initial filing on this form with respect to
the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided
in a prior cover page.
The information required
on the remainder of this cover page shall not be deemed to be “filed” for the purpose of Section 18 of the Securities
Exchange Act of 1934 (“Act”) or otherwise subject to the liabilities of that section of the Act but shall be subject
to all other provisions of the Act (however, see the Notes).
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
NAME OF REPORTING PERSON |
|
|
|
|
|
|
|
|
|
|
Irenic Capital Management LP |
|
|
2 |
|
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP |
(a) ☐ |
|
|
|
|
(b) ☐ |
|
|
|
|
|
|
|
3 |
|
SEC USE ONLY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4 |
|
SOURCE OF FUNDS |
|
|
|
|
|
|
|
|
|
|
WC |
|
|
5 |
|
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) |
☐ |
|
|
|
|
|
|
|
|
|
|
|
|
6 |
|
CITIZENSHIP OR PLACE OF ORGANIZATION |
|
|
|
|
|
|
|
|
|
|
Delaware |
|
NUMBER OF |
|
7 |
|
SOLE VOTING POWER |
|
SHARES |
|
|
|
|
|
BENEFICIALLY |
|
|
|
|
2,572,142 |
|
OWNED BY |
|
8 |
|
SHARED VOTING POWER |
|
EACH |
|
|
|
|
|
REPORTING |
|
|
|
|
- 0 - |
|
PERSON WITH |
|
9 |
|
SOLE DISPOSITIVE POWER |
|
|
|
|
|
|
|
|
|
|
|
|
2,572,142 |
|
|
|
10 |
|
SHARED DISPOSITIVE POWER |
|
|
|
|
|
|
|
|
|
|
|
|
- 0 - |
|
|
11 |
|
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON |
|
|
|
|
|
|
|
|
|
|
2,572,142 |
|
|
12 |
|
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES |
☐ |
|
|
|
|
|
|
|
|
|
|
|
|
13 |
|
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) |
|
|
|
|
|
|
|
|
|
|
5.1% |
|
|
14 |
|
TYPE OF REPORTING PERSON |
|
|
|
|
|
|
|
|
|
|
PN, IA |
|
The following constitutes
the Schedule 13D filed by the undersigned (the “Schedule 13D”).
| Item 1. | Security and Issuer. |
This statement relates to
the Common Stock, par value $0.01 per share (the “Shares”), of Barnes Group Inc., a Delaware corporation (the “Issuer”).
The Issuer’s principal executive offices are located at 123 Main Street, Bristol, Connecticut 06010.
| Item 2. | Identity and Background. |
(a) This
statement is being filed by Irenic Capital Management LP, a Delaware limited partnership (“Irenic Capital” or the “Reporting
Person”), the investment manager of Irenic Capital Evergreen Master Fund LP, a Cayman Islands limited partnership (“Irenic
Evergreen Master”), Irenic Capital Opportunity Master Fund LP, a Cayman Islands limited partnership (“Irenic Opportunity
Master”) and Irenic Schooner LLC, a Delaware limited liability company (“Irenic Schooner” and together with
Irenic Evergreen Master and Irenic Opportunity Master, the “Irenic Funds”), with respect to the Shares held by the
Irenic Funds. Irenic Capital Management GP LLC, a Delaware limited liability company (“Irenic Capital GP”), is the
general partner of Irenic Capital. Irenic Capital Evergreen Fund GP LLC, a Delaware limited liability company (“Irenic Evergreen
GP”), is the general partner of Irenic Evergreen Master and managing member of Irenic Schooner. Irenic Capital Opportunity Fund
GP LLC, a Delaware limited liability company (“Irenic Opportunity GP”), is the general partner of Irenic Opportunity
Master. Adam Katz is the Chief Investment Officer of Irenic Capital and a managing member of each of Irenic Capital GP, Irenic Evergreen
GP and Irenic Opportunity GP. Andrew Dodge is the Director of Research of Irenic Capital and a managing member of each of Irenic Capital
GP, Irenic Evergreen GP and Irenic Opportunity GP.
(b) The
business address of each of Irenic Evergreen Master, Irenic Opportunity Master, Irenic Schooner, Irenic Capital, Irenic Capital GP, Irenic
Evergreen GP, Irenic Opportunity GP and Messrs. Katz and Dodge is 767 Fifth Avenue, 15th Floor, New York, New York 10153.
(c) The
principal business of Irenic Capital is serving as the investment manager for the Irenic Funds. The principal business of the Irenic Funds
is investing in securities. The principal business of Irenic Capital GP is serving as the general partner of Irenic Capital. The principal
business of Irenic Evergreen GP is serving as the general partner of Irenic Evergreen Master and managing member of Irenic Schooner. The
principal business of Irenic Opportunity GP is serving as the general partner of Irenic Opportunity Master. The principal business of
Mr. Katz is serving as the Chief Investment Officer of Irenic Capital and a managing member of each of Irenic Capital GP, Irenic Evergreen
GP and Irenic Opportunity GP. The principal business of Mr. Dodge is serving as the Director of Research of Irenic Capital and a managing
member of each of Irenic Capital GP, Irenic Evergreen GP and Irenic Opportunity GP.
(d) and (e) During the
last five years, none of the persons or entities listed above has been (i) convicted in a criminal proceeding (excluding traffic violations
or similar misdemeanors); or (ii) a civil proceeding of a judicial or administrative body of competent jurisdiction and as a result of
such proceeding was or is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities
subject to, federal or state securities laws or finding any violation with respect to such laws.
(f) Irenic
Capital is a Delaware limited partnership. Irenic Evergreen Master and Irenic Opportunity Master are Cayman Islands limited partnerships.
Irenic Schooner, Irenic Capital GP, Irenic Evergreen GP and Irenic Opportunity GP are Delaware limited liability companies. Messrs. Katz
and Dodge are citizens of the United States of America.
| Item 3. | Source and Amount of Funds or Other Consideration. |
The Shares purchased by the
Reporting Person were purchased with working capital (which may, at any given time, include margin loans made by brokerage firms in the
ordinary course of business). The aggregate purchase price of the 2,572,142 Shares beneficially owned by the Reporting Person is approximately
$70,892,799, excluding brokerage commissions.
| Item 4. | Purpose of Transaction. |
Irenic Capital believes the
securities of the Issuer are undervalued and represent an attractive investment opportunity. Irenic Capital has formally nominated two
(2) highly-qualified candidates, Adam Katz and Larry A. Lawson, for election to the Board of Directors (the “Board”)
at the Issuer’s 2024 annual meeting of stockholders (the “Annual Meeting”). Since November, Irenic Capital has
attempted to engage in a constructive and private dialogue with the Board and management in hopes of achieving a cooperative resolution.
Irenic Capital may consider,
explore and/or develop plans and/or make proposals (whether preliminary or final) with respect to, among other things, potential changes
in the Issuer's operations, management, organizational documents, composition of the Board, ownership, capital or corporate structure,
sale transactions, dividend policy, strategy and plans. Irenic Capital intends to communicate with the Issuer's management and Board about,
and may enter into negotiations and agreements with them regarding, the foregoing and a broad range of operational and strategic matters
and to communicate with other stockholders or third parties, including potential acquirers, service providers and financing sources regarding
the Issuer. Irenic Capital may exchange information with any such persons pursuant to appropriate confidentiality or similar agreements.
Irenic Capital may change its intentions with respect to any and all matters referred to in this Item 4. It may also take steps to explore
and prepare for various plans and actions, and propose transactions, before forming an intention to engage in such plans or actions or
proceed with such transactions.
Irenic Capital intends to
review its investment in the Issuer on a continuing basis and depending upon various factors, including without limitation, the Issuer's
financial position and strategic direction, the outcome of any discussions referenced above, overall market conditions, other investment
opportunities available to Irenic Capital, and the availability of securities of the Issuer at prices that would make the purchase or
sale of such securities desirable, Irenic Capital may endeavor (i) to increase or decrease its position in the Issuer through, among other
things, the purchase or sale of securities of the Issuer, including through transactions involving the Shares and/or other equity, debt,
notes, other securities, or derivative or other instruments that are based upon or relate to the value of securities of the Issuer in
the open market or in private transactions, including through a trading plan created under Rule 10b5-1(c) or otherwise, on such terms
and at such times as Irenic Capital may deem advisable and/or (ii) to enter into transactions that increase or hedge their economic exposure
to the Shares without affecting their beneficial ownership of the Shares. In addition, Irenic Capital may, at any time and from time to
time, (i) review or reconsider its position and/or change its purpose and/or formulate plans or proposals with respect thereto and (ii)
consider or propose one or more of the actions described in subparagraphs (a) - (j) of Item 4 of Schedule 13D.
| Item 5. | Interest in Securities of the Issuer. |
(a) See
rows (11) and (13) of the cover page to this Schedule 13D for the aggregate number of Shares and percentage of Shares beneficially owned
by the Reporting Person. The aggregate percentage of Shares reported beneficially owned by the Reporting Person is based upon 50,674,896
Shares outstanding as of November 1, 2023, which is the total number of Shares outstanding as reported in the Issuer’s Quarterly
Report on Form 10-Q filed with the Securities and Exchange Commission on November 8, 2023. As of the date hereof, the Reporting Person
beneficially owned 2,572,142 Shares, constituting approximately 5.1% of the Shares outstanding.
(b) See
rows (7) through (10) of the cover page to this Schedule 13D for the Shares as to which the Reporting Person has the sole or shared power
to vote or direct the vote and sole or shared power to dispose or to direct the disposition.
(c) The
transactions in the Shares effected by the Reporting Person during the past sixty (60) days, which were all in the open market, are set
forth on Schedule A attached hereto.
(d) No
persons other than the Irenic Funds and the Reporting Person have the right to receive or the power to direct the receipt of dividends
from, or the proceeds from the sale of, the Shares beneficially owned by the Reporting Person.
| Item 6. | Contracts, Arrangements, Understandings or Relationships With Respect to Securities of the Issuer. |
Irenic Capital, Irenic Evergreen
Master, Irenic Opportunity Master, Irenic Schooner, Irenic Capital GP, Irenic Evergreen GP, Irenic Opportunity GP, Messrs. Dodge and Katz
(collectively, the “Irenic Group”) and Mr. Lawson entered into a Group Agreement (the “Group Agreement”)
in connection with the Annual Meeting, pursuant to which, among other things, the parties agreed (a) to solicit proxies or written consents
for the election of certain persons nominated for election to the Board at the Annual Meeting (including those nominated by the Irenic
Group), and (b) that the Irenic Group would bear all expenses incurred in connection with the group’s activities, including approved
expenses incurred by any of the parties in connection with the solicitation, subject to certain limitations. A copy of the Group Agreement
is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
The Reporting Person has signed
a letter agreement (the “Indemnification Agreement”) with Mr. Lawson pursuant to which it and its affiliates have agreed
to indemnify Mr. Lawson against certain claims arising from the solicitation of proxies from the Issuer’s stockholders in connection
with the Annual Meeting and any related transactions. For the avoidance of doubt, such indemnification does not apply to any claims made
against Mr. Lawson in his capacity as a director of the Issuer if so elected. A copy of the Indemnification Agreement is attached hereto
as Exhibit 99.2 and is incorporated herein by reference.
The Reporting Person has entered
into a compensation letter agreement (the “Compensation Agreement”) with Mr. Lawson pursuant to which the Reporting
Person agreed to pay Mr. Lawson (i) $5,000 in cash upon the execution of such Compensation Agreement, and (ii) $45,000 if Mr. Lawson is
elected or appointed to the Board resulting from a nomination or appointment approved by the Irenic Group, or a written agreement between
the Irenic Group and the Issuer, with such amount deemed payable to Mr. Lawson effective prior to such election or appointment. Pursuant
to the Compensation Agreement, Mr. Lawson has also agreed that, if he is elected or appointed to the Board, he will use the after-tax
proceeds from such compensation, or an equivalent amount of other funds, to acquire securities of the Issuer, subject to the Reporting
Person’s right to waive such requirement. The Compensation Agreement terminates on the earliest to occur of (i) the Issuer’s
appointment or nomination of Mr. Lawson as a director of the Issuer, (ii) the date of any agreement with the Issuer in furtherance of
Mr. Lawson’s nomination or appointment as a director of the Issuer, (iii) the Irenic Group’s withdrawal of Mr. Lawson’s
nomination for election as a director of the Issuer, and (iv) the date of the Annual Meeting. A copy of the Compensation Agreement is
attached hereto as Exhibit 99.3 and is incorporated herein by reference.
| Item 7. | Material to be Filed as Exhibits. |
| 99.2 | Indemnification Agreement. |
| 99.3 | Compensation Agreement. |
SIGNATURES
After reasonable inquiry
and to the best of his knowledge and belief, the undersigned certifies that the information set forth in this statement is true, complete
and correct.
Dated: January 29, 2024
|
Irenic Capital Management LP |
|
|
|
By: |
Irenic Capital Management GP LLC |
|
|
|
|
By: |
/s/ Adam Katz |
|
|
Name: |
Adam Katz |
|
|
Title: |
Managing Member |
SCHEDULE A
Transactions in Securities of the Issuer During
the Past 60 Days
Nature of the Transaction |
Securities
Purchased |
Price Per
Security ($) |
Date of
Purchase |
IRENIC CAPITAL MANAGEMENT LP
Purchase of Common Stock |
10,451 |
26.2244 |
11/30/2023 |
Purchase of Common Stock |
21,584 |
26.1172 |
11/30/2023 |
Purchase of Common Stock |
8,395 |
26.9543 |
12/01/2023 |
Purchase of Common Stock |
11,096 |
26.9045 |
12/01/2023 |
Purchase of Common Stock |
5,396 |
27.4783 |
12/04/2023 |
Purchase of Common Stock |
26,344 |
27.4783 |
12/04/2023 |
Purchase of Common Stock |
12,450 |
27.7316 |
12/05/2023 |
Purchase of Common Stock |
2,550 |
27.7316 |
12/05/2023 |
Purchase of Common Stock |
1,717 |
27.5457 |
12/05/2023 |
Purchase of Common Stock |
8,383 |
27.5457 |
12/05/2023 |
Purchase of Common Stock |
10,100 |
27.9841 |
12/06/2023 |
Purchase of Common Stock |
1,513 |
27.8978 |
12/07/2023 |
Purchase of Common Stock |
7,385 |
27.8978 |
12/07/2023 |
Purchase of Common Stock |
3,400 |
28.3141 |
12/08/2023 |
Purchase of Common Stock |
16,600 |
28.3141 |
12/08/2023 |
Purchase of Common Stock |
719 |
28.0931 |
12/08/2023 |
Purchase of Common Stock |
3,508 |
28.0931 |
12/08/2023 |
Purchase of Common Stock |
1,829 |
28.5378 |
12/11/2023 |
Purchase of Common Stock |
8,932 |
28.5378 |
12/11/2023 |
Purchase of Common Stock |
1,204 |
28.5486 |
12/11/2023 |
Purchase of Common Stock |
8,055 |
28.5486 |
12/11/2023 |
Purchase of Common Stock |
765 |
28.6207 |
12/11/2023 |
Purchase of Common Stock |
5,119 |
28.6207 |
12/11/2023 |
Purchase of Common Stock |
1,939 |
28.6143 |
12/12/2023 |
Purchase of Common Stock |
9,468 |
28.6143 |
12/12/2023 |
Purchase of Common Stock |
2,550 |
28.5785 |
12/12/2023 |
Purchase of Common Stock |
12,450 |
28.5785 |
12/12/2023 |
Purchase of Common Stock |
1,700 |
28.6573 |
12/12/2023 |
Purchase of Common Stock |
8,300 |
28.6573 |
12/12/2023 |
Purchase of Common Stock |
1,700 |
28.5965 |
12/12/2023 |
Purchase of Common Stock |
8,300 |
28.5965 |
12/12/2023 |
Purchase of Common Stock |
1,300 |
28.5839 |
12/12/2023 |
Purchase of Common Stock |
6,349 |
28.5839 |
12/12/2023 |
Purchase of Common Stock |
1,732 |
28.5475 |
12/12/2023 |
Purchase of Common Stock |
8,454 |
28.5475 |
12/12/2023 |
Purchase of Common Stock |
1,300 |
28.6066 |
12/13/2023 |
Purchase of Common Stock |
8,700 |
28.6066 |
12/13/2023 |
Purchase of Common Stock |
923 |
28.5935 |
12/13/2023 |
Purchase of Common Stock |
4,507 |
28.5935 |
12/13/2023 |
Purchase of Common Stock |
1,700 |
28.5780 |
12/13/2023 |
Purchase of Common Stock |
8,300 |
28.5780 |
12/13/2023 |
Purchase of Common Stock |
1,466 |
28.4876 |
12/13/2023 |
Purchase of Common Stock |
7,157 |
28.4876 |
12/13/2023 |
Purchase of Common Stock |
712 |
28.4800 |
12/13/2023 |
Purchase of Common Stock |
4,768 |
28.4800 |
12/13/2023 |
Purchase of Common Stock |
3,400 |
30.0123 |
12/15/2023 |
Purchase of Common Stock |
16,600 |
30.0123 |
12/15/2023 |
Purchase of Common Stock |
1,700 |
29.9447 |
12/15/2023 |
Purchase of Common Stock |
8,300 |
29.9447 |
12/15/2023 |
Purchase of Common Stock |
1,700 |
29.9803 |
12/15/2023 |
Purchase of Common Stock |
8,300 |
29.9803 |
12/15/2023 |
Purchase of Common Stock |
1,170 |
30.1822 |
12/18/2023 |
Purchase of Common Stock |
5,713 |
30.1822 |
12/18/2023 |
Purchase of Common Stock |
814 |
30.2378 |
12/18/2023 |
Purchase of Common Stock |
3,974 |
30.2378 |
12/18/2023 |
Purchase of Common Stock |
2,000 |
31.0939 |
12/20/2023 |
Purchase of Common Stock |
8,000 |
31.0939 |
12/20/2023 |
Purchase of Common Stock |
3,000 |
31.0383 |
12/20/2023 |
Purchase of Common Stock |
12,000 |
31.0383 |
12/20/2023 |
Purchase of Common Stock |
1,287 |
30.8495 |
12/20/2023 |
Purchase of Common Stock |
5,150 |
30.8495 |
12/20/2023 |
Purchase of Common Stock |
1,868 |
31.2489 |
12/21/2023 |
Purchase of Common Stock |
7,473 |
31.2489 |
12/21/2023 |
Purchase of Common Stock |
1,100 |
30.9895 |
12/21/2023 |
Purchase of Common Stock |
4,402 |
30.9895 |
12/21/2023 |
Purchase of Common Stock |
16 |
31.7300 |
12/22/2023 |
Purchase of Common Stock |
66 |
31.7300 |
12/22/2023 |
Purchase of Common Stock |
1,054 |
31.8000 |
12/22/2023 |
Purchase of Common Stock |
4,215 |
31.8000 |
12/22/2023 |
Purchase of Common Stock |
140 |
31.8329 |
12/22/2023 |
Purchase of Common Stock |
560 |
31.8329 |
12/22/2023 |
Purchase of Common Stock |
326 |
32.4051 |
12/26/2023 |
Purchase of Common Stock |
1,302 |
32.4051 |
12/26/2023 |
Purchase of Common Stock |
4,000 |
32.8510 |
12/27/2023 |
Purchase of Common Stock |
16,000 |
32.8510 |
12/27/2023 |
Purchase of Common Stock |
2,669 |
32.7600 |
12/28/2023 |
Purchase of Common Stock |
10,676 |
32.7600 |
12/28/2023 |
Purchase of Common Stock |
3,086 |
32.6765 |
12/29/2023 |
Purchase of Common Stock |
12,344 |
32.6765 |
12/29/2023 |
Purchase of Common Stock |
10,000 |
32.2054 |
01/02/2024 |
Purchase of Common Stock |
40,000 |
32.2054 |
01/02/2024 |
Purchase of Common Stock |
10,000 |
32.4183 |
01/02/2024 |
Purchase of Common Stock |
40,000 |
32.4183 |
01/02/2024 |
Purchase of Common Stock |
25,000 |
32.0880 |
01/02/2024 |
Purchase of Common Stock |
100,000 |
32.0880 |
01/02/2024 |
Purchase of Common Stock |
5,000 |
31.9350 |
01/02/2024 |
Purchase of Common Stock |
20,000 |
31.9350 |
01/02/2024 |
Purchase of Common Stock |
10,000 |
31.8888 |
01/02/2024 |
Purchase of Common Stock |
40,000 |
31.8888 |
01/02/2024 |
Purchase of Common Stock |
10,000 |
31.9666 |
01/02/2024 |
Purchase of Common Stock |
40,000 |
31.9666 |
01/02/2024 |
Purchase of Common Stock |
20,000 |
30.9385 |
01/03/2024 |
Purchase of Common Stock |
80,000 |
30.9385 |
01/03/2024 |
Purchase of Common Stock |
20,000 |
30.5551 |
01/03/2024 |
Purchase of Common Stock |
80,000 |
30.5551 |
01/03/2024 |
Purchase of Common Stock |
7,974 |
30.3696 |
01/03/2024 |
Purchase of Common Stock |
31,894 |
30.3696 |
01/03/2024 |
Purchase of Common Stock |
20,000 |
30.4333 |
01/04/2024 |
Purchase of Common Stock |
80,000 |
30.4333 |
01/04/2024 |
Purchase of Common Stock |
10,000 |
30.4043 |
01/04/2024 |
Purchase of Common Stock |
40,000 |
30.4043 |
01/04/2024 |
Purchase of Common Stock |
10,000 |
29.8652 |
01/05/2024 |
Purchase of Common Stock |
40,000 |
29.8652 |
01/05/2024 |
Purchase of Common Stock |
13,753 |
30.1386 |
01/05/2024 |
Purchase of Common Stock |
55,013 |
30.1386 |
01/05/2024 |
Purchase of Common Stock |
4,846 |
30.3258 |
01/08/2024 |
Purchase of Common Stock |
19,383 |
30.3258 |
01/08/2024 |
Purchase of Common Stock |
33,000 |
30.7493 |
01/08/2024 |
Purchase of Common Stock |
3,116 |
30.7559 |
01/08/2024 |
Purchase of Common Stock |
33,000 |
30.2582 |
01/09/2024 |
Purchase of Common Stock |
9,247 |
30.1076 |
01/09/2024 |
Purchase of Common Stock |
6,856 |
30.1294 |
01/09/2024 |
Purchase of Common Stock |
63,000 |
30.3366 |
01/17/2024 |
Purchase of Common Stock |
93,967 |
30.6490 |
01/18/2024 |
Exhibit 99.1
GROUP AGREEMENT
WHEREAS, certain of the undersigned
are stockholders, direct or beneficial, of Barnes Group Inc., a Delaware corporation (the “Company”); and
WHEREAS, Irenic Capital
Management LP, Irenic Capital Evergreen Master Fund LP, Irenic Capital Opportunity Master Fund LP, Irenic Schooner LLC, Irenic Capital
Evergreen Fund GP LLC, Irenic Capital Opportunity Fund GP LLC, Irenic Capital Management GP LLC, Andrew Dodge, Adam J. Katz (collectively,
“Irenic”), and Larry A. Lawson (together, with Mr. Katz, the “Nominees” and, together with Irenic, the “Group”)
wish to enter into this Group Agreement (this “Agreement”) to form a group for the purpose of working together to enhance
stockholder value at the Company, including seeking the election of the Nominees to the Board of Directors of the Company (the “Board”)
at the 2024 annual meeting of stockholders of the Company (including any other meeting of stockholders held in lieu thereof, and any adjournments,
postponements, reschedulings or continuations thereof, the “Annual Meeting”) and for the purpose of taking all other action
necessary to achieve the foregoing.
NOW, IT IS AGREED, this 27th day of January
2024 by the parties hereto:
1. In
the event that the Group becomes obligated to file a statement on Schedule 13D while this Agreement is in effect, in accordance with Rule
13d-1(k)(1)(iii) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), the Group agrees to the joint
filing on behalf of each of them of any statements on Schedule 13D, and any amendments thereto, with respect to the securities of the
Company, to the extent required by applicable law. Each member of the Group shall be responsible for the accuracy and completeness of
his or its own disclosure therein, and is not responsible for the accuracy and completeness of the information concerning the other members,
unless such member knows or has reason to know that such information is inaccurate.
2. So
long as this Agreement is in effect, each of the undersigned shall provide written notice to Olshan Frome Wolosky LLP (“Olshan”)
and Adam J. Katz of Irenic of (i) any of their purchases or sales of securities of the Company;
or (ii) any securities of the Company over which they acquire or dispose of beneficial ownership. Notice shall be given no later than
eight (8) hours after each such transaction. For purposes of this Agreement, the term “beneficial ownership” shall have the
meaning of such term set forth in Rule 13d-3 under the Exchange Act.
3. Each
of the undersigned agrees to form the Group for the purpose of (i) soliciting proxies or written consents for the election of certain
persons nominated for election to the Board at the Annual Meeting (including those nominated by Irenic), (ii) taking such other actions
as the parties deem advisable, and (iii) taking all other action necessary or advisable to achieve the foregoing.
4. Irenic
shall have the right to pre-approve all expenses incurred in connection with the Group’s activities and agrees to pay directly all
such pre-approved expenses.
5. Each
of the undersigned agrees that any filing with the Securities and Exchange Commission, press release or stockholder communication proposed
to be made or issued by the Group or any member of the Group in connection with the Group’s activities set forth in Section 3 shall
be as directed by Irenic.
6. The
relationship of the parties hereto shall be limited to carrying on the business of the Group in accordance with the terms of this Agreement.
Such relationship shall be construed and deemed to be for the sole and limited purpose of carrying on such business as described herein.
Nothing herein shall be construed to authorize any party to act as an agent for any other party, or to create a joint venture or partnership,
or to constitute an indemnification. Except as provided in Section 2, nothing herein shall restrict any party’s right to purchase
or sell securities of the Company, as he or it deems appropriate, in his or its sole discretion, provided that all such transactions are
made in compliance with all applicable securities laws.
7. This
Agreement may be executed in counterparts, each of which shall be deemed an original and all of which, taken together, shall constitute
but one and the same instrument, which may be sufficiently evidenced by one counterpart.
8. This
Agreement is governed by and will be construed in accordance with the laws of the State of New York. Any legal action or proceeding arising
out of the provisions of this Agreement or the parties’ investment in the Company shall be brought and determined in the United
States District Court for the Southern District of New York located in the Borough of Manhattan or the courts of the State of New York
located in the County of New York.
9. The
parties’ rights and obligations under this Agreement (other than the rights and obligations set forth in Section 4 and Section 8
which shall survive any termination of this Agreement) shall terminate immediately after the conclusion of the activities set forth in
Section 3 or as otherwise agreed to by the parties. Notwithstanding the foregoing, any party hereto may terminate his/its obligations
under this Agreement on 24 hours’ written notice to all other parties, with a copy by email to Andrew Freedman at Olshan, at afreedman@olshanlaw.com.
10. Each
party acknowledges that Olshan shall act as counsel for both the Group and Irenic relating to their investment in the Company.
11. The
terms and provisions of this Agreement may not be modified, waived or amended without the written consent of each of the parties hereto.
12. That
certain Group Agreement, by and among certain of the undersigned, dated January 5, 2024, is hereby superseded in its entirety by this
Agreement and shall be of no further force or effect.
13. Each
of the undersigned parties hereby agrees that this Agreement shall be filed as an exhibit to any Schedule 13D required to be filed under
applicable law pursuant to Rule 13d-1(k)(1)(iii) under the Exchange Act that may in the future be required to be filed under applicable
law.
[Signature page follows]
IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be executed as of the day and year first above written.
|
Irenic Capital Management LP |
|
|
|
By: |
Irenic Capital Management GP LLC
its general partner |
|
|
|
|
By: |
/s/ Adam J. Katz |
|
|
Name: |
Adam J. Katz |
|
|
Title: |
Managing Member |
|
Irenic Capital Evergreen Master Fund LP |
|
|
|
By: |
Irenic Capital Evergreen Fund GP LLC
its general partner |
|
|
|
|
By: |
/s/ Adam J. Katz |
|
|
Name: |
Adam J. Katz |
|
|
Title: |
Managing Member |
|
Irenic Capital Opportunity Master Fund LP |
|
|
|
By: |
Irenic Capital Opportunity Fund GP LLC
its general partner |
|
|
|
|
By: |
/s/ Adam J. Katz |
|
|
Name: |
Adam J. Katz |
|
|
Title: |
Managing Member |
|
Irenic Schooner LLC |
|
|
|
By: |
Irenic Capital Management LP
its investment manager |
|
|
|
|
By: |
/s/ Adam J. Katz |
|
|
Name: |
Adam J. Katz |
|
|
Title: |
Managing Member |
|
Irenic Capital Evergreen Fund GP LLC |
|
|
|
By: |
/s/ Adam J. Katz |
|
|
Name: |
Adam J. Katz |
|
|
Title: |
Managing Member |
|
Irenic Capital Opportunity Fund GP LLC |
|
|
|
By: |
/s/ Adam J. Katz |
|
|
Name: |
Adam J. Katz |
|
|
Title: |
Managing Member |
|
Irenic Capital Management GP LLC |
|
|
|
By: |
/s/ Adam J. Katz |
|
|
Name: |
Adam J. Katz |
|
|
Title: |
Managing Member |
|
/s/ Adam J. Katz |
|
Adam J. Katz |
|
/s/ Andrew Dodge |
|
Andrew Dodge |
|
/s/ Larry A. Lawson |
|
Larry A. Lawson |
Exhibit 99.2
IRENIC CAPITAL MANAGEMENT LP
767 Fifth Avenue, 15th Floor
New York, New York 10153
January 5, 2024
Larry A. Lawson
Dear Mr. Lawson:
Thank you for agreeing
to serve as a nominee for election to the board of directors of Barnes Group Inc. (the “Company”) in connection with the proxy
solicitation that Irenic Capital Management LP and certain of its affiliates (collectively, the “Irenic Group”) is considering
undertaking to nominate and elect directors at the Company’s 2024 annual meeting of stockholders, or any other meeting of stockholders
held in lieu thereof, and any adjournments, postponements, reschedulings or continuations thereof (the “Irenic Group Solicitation”).
Your outstanding qualifications, we believe, will prove a valuable asset to the Company and all of its stockholders. This letter (“Agreement”)
will set forth the terms of our agreement.
The members of the Irenic
Group agree to jointly and severally indemnify and hold you harmless against any and all claims of any nature, whenever brought, arising
from the Irenic Group Solicitation and any related transactions, irrespective of the outcome; provided, however, that you
will not be entitled to indemnification for claims arising from your gross negligence, willful misconduct, intentional and material violations
of law, criminal actions or material breach of the terms of this Agreement; provided further, that upon your becoming a director
of the Company, this indemnification shall not apply to any claims made against you in your capacity as a director of the Company. This
indemnification will include any and all losses, liabilities, damages, demands, claims, suits, actions, judgments, or causes of action,
assessments, costs and expenses, including, without limitation, interest, penalties, reasonable attorneys’ fees, and any and all
reasonable costs and expenses incurred in investigating, preparing or defending against any litigation, commenced or threatened, any civil,
criminal, administrative or arbitration action, or any claim whatsoever, and any and all amounts paid in settlement of any claim or litigation
asserted against, resulting, imposed upon, or incurred or suffered by you, directly or indirectly, as a result of or arising from the
Irenic Group Solicitation and any related transactions (each, a “Loss”).
In the event you are notified
or otherwise become aware of a claim against you pursuant to the prior paragraph or the occurrence of a Loss, you shall give the Irenic
Group prompt written notice (including through electronic submission) of such claim or Loss (provided that failure to promptly notify
the Irenic Group shall not relieve us from any liability which we may have on account of this Agreement, except to the extent we shall
have been materially prejudiced by such failure). Upon receipt of such written notice, the Irenic Group will provide you with counsel
to represent you. Such counsel shall be reasonably acceptable to you. In addition, you will be reimbursed promptly for all Losses suffered
by you and as incurred as provided herein. The Irenic Group may not enter into any settlement of loss or claim without your consent unless
such settlement includes a release of you from any and all liability in respect of such claim.
You
hereby agree to keep confidential and not disclose to any party, without the consent of the Irenic Group, any confidential, proprietary
or non-public information (collectively, “Information”) of the Irenic Group or its affiliates which you have heretofore obtained
or may obtain in connection with your service as a nominee hereunder. Notwithstanding the foregoing, Information shall not include
any information that is publicly disclosed by the Irenic Group or its affiliates or any information that you can demonstrate is now, or
hereafter becomes, through no act or failure to act on your part, otherwise generally known to the public.
Notwithstanding
the foregoing, if you are required by applicable law, rule, regulation or legal process to disclose any Information you may do
so provided that you first promptly notify the Irenic Group so that the Irenic Group or any member thereof may seek a protective order
or other appropriate remedy or, in the Irenic Group’s sole discretion, waive compliance with the terms of this Agreement. In the
event that no such protective order or other remedy is obtained or the Irenic Group does not waive compliance with the terms of this Agreement,
you may consult with counsel at the cost of the Irenic Group and you may furnish only that portion of the Information which you are advised
by counsel is legally required to be so disclosed and you will request that the party(ies) receiving such Information maintain it as confidential.
All
Information, all copies thereof, and any studies, notes, records, analysis, compilations or other documents prepared by you containing
such Information, shall be and remain the property of the Irenic Group and, upon the request of a representative of the Irenic Group,
all such Information shall be returned or, at the Irenic Group’s option, destroyed by you, with such destruction confirmed by you
to the Irenic Group in writing.
This Agreement shall be
governed by the laws of the State of New York, without regard to the principles of the conflicts of laws thereof.
* * *
If you agree to the foregoing terms, please
sign below to indicate your acceptance.
|
IRENIC CAPITAL MANAGEMENT LP |
|
|
|
By: |
Irenic Capital Management GP LLC
its general partner |
|
|
|
|
By: |
/s/ Adam Katz |
|
|
Name: |
Adam Katz |
|
|
Title: |
Managing Member |
ACCEPTED AND AGREED: |
|
/s/ Larry A. Lawson |
Larry A. Lawson |
Exhibit 99.3
IRENIC CAPITAL MANAGEMENT LP
767 Fifth Avenue, 15th Floor
New York, New York 10153
January 15, 2024
Larry A. Lawson
Dear Mr. Lawson:
This letter sets forth
our mutual agreement with respect to compensation to be paid to you for your agreement to be named and serve as a nominee of a group of
investors (the “Irenic Group”), including Irenic Capital Management LP (“Irenic Capital”), for election as a director
of Barnes Group Inc. (the “Company”) at the Company’s 2024 annual meeting of stockholders including any other meeting
of stockholders held in lieu thereof, and any adjournments, postponements, reschedulings or continuations thereof (the “Annual Meeting”).
In consideration of your
agreement to be named and serve as a nominee of the Irenic Group for election as a director of the Company at the Annual Meeting, the
undersigned hereby agrees to pay you (i) $5,000 in cash upon execution of this agreement by you and Irenic Capital (with such payment
to be made as soon as reasonably practicable after such execution) and (ii) $45,000 if you are elected or appointed to the Board resulting
from a nomination or appointment approved by the Irenic Group or a written agreement between the Irenic Group and the Company, with such
amount deemed payable to you hereunder effective prior to your election or appointment. In addition, and in consideration of the compensation,
you will provide all information required by the Company for nominees for director, and you shall provide such information by not later
than one Business Day after the receipt of such information request. You hereby agree to use the after-tax proceeds from such compensation,
or an equivalent amount of other funds, to acquire securities of the Company (the “Nominee Shares”) at such time that you
shall determine, but in any event no later than fourteen (14) days after receipt of such compensation; provided, however, in the event
you are unable to transact in the securities of the Company due to possession of material non-public information or any other limitation
or restriction, you shall have fourteen (14) days from the first date that you can transact in the securities of the Company to acquire
such securities; provided, further, that the Irenic Group shall have the right to waive the requirement to purchase Nominee Shares at
any time by providing you with prior notice of any such waiver. During the term of this letter agreement, you agree not to sell, transfer
or otherwise dispose of any Nominee Shares; provided, however, in the event that the Company enters into a business combination with a
third party, you may sell, transfer or exchange the Nominee Shares in accordance with the terms of such business combination.
The term of this letter
agreement shall commence on the date hereof and shall remain in effect until the earliest to occur of (i) the Company’s appointment
or nomination of you for election as a director of the Company, (ii) the date of any agreement with the Company in furtherance of your
nomination or appointment as a director of the Company, (iii) the Irenic Group’s withdrawal of your nomination for election as
a director of the Company, and (iv) the date of the Annual Meeting.
The validity, interpretation,
construction and performance of this letter agreement shall be governed by the laws of the State of New York, without regard to its principles
of conflict of laws, and by applicable laws of the United States. The parties hereto consent to the jurisdiction of the New York State
and United States courts located in New York County, New York for the resolution of any disputes hereunder and agree that venue shall
be proper in any such court notwithstanding any principle of forum non conveniens and that service of process on the parties hereto in
any proceeding in any such court may be effected in the manner provided herein for the giving of notices. The parties hereto waive trial
by jury in respect of any such proceeding.
This letter agreement shall
bind and inure to the benefit of you and your heirs, successors and assigns.
This letter agreement may
be executed in counterparts, each of which shall be deemed an original, and all of which, taken together, shall constitute one and the
same instrument.
|
IRENIC CAPITAL MANAGEMENT LP |
|
|
|
By: |
Irenic Capital Management GP LLC
its general partner |
|
|
|
|
By: |
/s/ Adam Katz |
|
|
Name: |
Adam Katz |
|
|
Title: |
Managing Member |
Accepted and Agreed to: |
|
|
|
/s/ Larry A. Lawson |
|
LARRY A. LAWSON |
|
Barnes (NYSE:B)
Gráfica de Acción Histórica
De Abr 2024 a May 2024
Barnes (NYSE:B)
Gráfica de Acción Histórica
De May 2023 a May 2024