March 27, 2009 8:35 pm

Shareholder Group Seeks Sale of Collectors Universe - CEO Steps Down

Shamrock Capital Advisors, a private equity firm that lists the family of Disney among its clients, has sent a letter to the board of directors of Collectors Universe asking them to immediately begin the process to sell the company.

Shamrock, founded in 1978 owns more than 8 percent of the company, Roy Disney is the nephew of the late Walt Disney.

Ten years ago at its initial public offering, the stock went for nearly per share. According to Dennis Johnson, managing director of Shamrock, Collectors Universe has gone through a period of “lost opportunities, frequent changes in strategy, near delisting from NASDAQ, incurrence of a series of operating losses, and the board’s pathetic recent adoption of a poison pill we believe only serves to entrench management and this board.”

In another email from a New Jersey reader states Mike Haynes (CEO) reduced his ownership by 57% and several of their institutional and Mutual Fund Investors have been dumping their stock.

Collectors Universe hit a 52 week low of .05 and is presently at .53.

In a recent autograph auction house catalog they state that PSA/DNA no longer issues an Auction COA.

Earlier this month, Collectors Universe - parent company of PSA/DNA -announced it was discontinuing its diamond and gemstone authentication service after three years of unprofitable returns, saying it would focus on its sports and numismatic grading services.

_______________

Collectors Universe CEO Steps Down

Chief Executive Officer Michael Haynes of Santa Ana-based Collectors Universe Inc. is set to step down from the company at the end of the month.

Director Michael McConnell will take over the reins as interim chief executive officer.

The move comes a week after investor Shamrock Capital Advisors Inc. pressed Collectors directors to put the company up for sale.

Burbank-based Shamrock Capital believes the company is an attractive acquisition candidate and could be worth twice as much if it were sold, it said in a letter to directors last week.

Collectors directors should abandon the company's "flawed strategic direction," said Shamrock, which owns 9% of Collectors shares.

Shamrock invests money for Disney and relatives through an activist value fund.

The company could benefit from going private as well and save money by not having to comply with regulations for publicly-traded companies, the letter said.

The investment firm is backed by Roy Disney, the nephew of Walt Disney Co. founder Walt Disney and is a former Collectors company executive.

Collectors Universe, which authenticates and grades coins, sports cards, stamps and other collectables, has a market value of about million. The company had about million in revenue last year.