Paragon claims Ocean Power failed to achieve quorum at shareholder meeting

Paragon Technologies, a diversified holding company and the largest shareholder of Ocean Power Technologies, yesterday filed a complaint in the Delaware Court of Chancery alleging OPT failed to achieve a quorum at its 2023 Annual Meeting of Stockholders held on February 28, 2024. “After postponing its annual meeting twice for failing to achieve a quorum, OPT filed notice with the Securities and Exchange Commission on March 2 announcing its claimed annual meeting results,” notes Sham Gad, Chairman of Paragon. “Based on the voting tally published in that 8-K filing, every single proposal including auditor ratification shows only 49.5% of shareholders voted, below the 50.1% needed for a quorum.” Despite the endless entrenchment actions taken by the OPT board of directors over the past year, the board failed at the simple task of filing a Form 8-K demonstrating a quorum. Given that OPT did not even start its annual meeting on time on February 28, we believe OPT took improper and aggressive steps in counting votes, including counting votes on Paragon’s proxy that should not have counted.”