Obrem Capital Boosts Stake In Micrel (MCRL), Requests Special Meeting to Replace Board

In an amended 13D filing this morning on Micrel Inc. (Nasdaq: MCRL), Obrem Capital Management, a 14.9% owner, said they are disappointed by the Board's purported adoption of the Rights Plan. In response, Obrem sent a letter to the company requesting a special meeting of shareholders for the purpose of replacing the members of the current Board with their recommendations. The firm provided data on six individuals nominated for election to the Company’s board of directors.

Earlier in the month, Obrem Capital sent a letter to the company saying they believe that the shares are substantially undervalued and that the Board should explore strategic alternatives, including pursuing the sale of the entire company.

Obrem Capital is a hedge fund founded by 30 year old Andrew Rechtschaffen. Rechtschaffen started Obrem Capital after leaving Ken Griffin's Citadel Investment Group in 2005. Rechtschaffen was the subject of controversy when he joined Citadel from hedge fund Greenlight Capital. Activist investor Daniel Loeb of Third Point LLC took exception to Griffin poaching Rechtschaffen from his friend David Einhorn's Greenlight. This prompted Loeb to send a nasty letter to Griffin, saying he should stay away from his employees and the employees of his allies if he knows what is good for him.