Shares of Integer Holdings Corp (NYSE:ITGR) rose 3.4% in premarket trading on Thursday following reports that activist investor Irenic Capital Management has built a stake of more than 3% in the medical-device outsourcing specialist and is pressing for changes, including a potential sale of the company.
According to The Wall Street Journal, Irenic—now among Integer’s largest shareholders—sent a private letter to the company’s board earlier this week outlining its views. Citing people familiar with the matter, the report said the activist is calling for a board refresh and a review of strategic alternatives.
Irenic believes Integer’s shares trade at a discount in part because the company lacks direct, publicly listed peers, which has led to limited analyst coverage and a weaker understanding of its business among investors. The firm also argues that Integer’s position as a public company restricts its ability to disclose detailed customer or product-level information, making it harder for the market to fully assess the strength of its development pipeline.
Integer provides design, development and manufacturing services for critical components used by medical-device companies, with exposure to areas such as cardiac rhythm management, neuromodulation, and cardiovascular and vascular applications.
The activist has reportedly told the board that it sees strong potential takeover interest from prospective buyers, including private-equity firms, and believes any transaction could occur at a meaningful premium to the current share price.