Staar Surgical shareholder issues letter opposing Alcon acquisition

Yunqi Capital, an investment management firm and 5.1% shareholder of Staar Surgical (STAA), issued the following letter to the board of directors of Staar regarding Yunqi’s opposition to the proposed sale to Alcon (ALC) on the terms announced on August 5, 2025. The letter reads: “We are writing to express concern over recent representations by the Company regarding the proposed merger with Alcon, to urge you to hold the special meeting of shareholders on October 23, 2025, as planned, and to reiterate our confidence in the future of the Company after the shareholder vote on the proposed merger is concluded and presumably defeated. We continue to oppose the proposed merger and have accordingly voted our shares against it. To start with, we are troubled by recent characterizations from the Company regarding the proposed merger. STAAR’s October 16 press release disingenuously touts that “Despite Broadwood’s assertions, STAAR has not received any proposal to acquire the Company other than from Alcon.”… The Company should hold the vote on the Proposed Merger as scheduled on October 23, 2025, without delay or the pretense of shareholders needing more time to consider the information at hand. The Board should also reject any pressure from Alcon to that end as part of an effort by Alcon to support its own predatory acquisition of the Company and its ongoing pattern of serial acquisitions in the ophthalmology space… The recent press release from STAAR of October 20, 2025, announcing preliminary net sales results for the third quarter, underscores a positive trajectory for the Company, particularly in the critical China market. After adjusting for sales in other geographies, China revenue in the third quarter is estimated at approximately $54.4 million, bringing total China-related revenue for the first three quarters of 2025 to about $142.6 million when factoring in earlier de-stocking activity… We continue to believe that STAAR is well-positioned to thrive following the rejection of the merger. If the shareholders reject the deal, we expect the Board to chart a constructive path forward, driving value for the shareholders. And we envision that the Company could, at the appropriate time and from a position of strength, initiate a disciplined strategic alternatives review…”