DST Systems Inc. on Tuesday announced a dissident California stockholder is proceeding with plans to sell most of its holdings in the financial services company.
As previously announced last month, a group affiliated with billionaire George Argyros will sell $450 million worth of DST stock through a public offering. The Argyros group will receive all of the proceeds from the offering, DST said in a statement that formally announced the sale.
No shares of common stock are being sold by DST.
In addition, DST will repurchase about $200 million worth of stock from the Argyros group.
The Argyros group had agreed to sell about 70 percent of its 21.8 percent stake in DST through the two transactions.
Earlier this year, the Argyros group issued a list of reforms it said were needed at DST because of "strategic missteps" and "material deficiencies" in the way the company is governed. The company fired back, challenging the group's motives and arguing that the changes would benefit the Argryos group at other shareholders' expense.