Miller Industries Investor Pushes for Review, Possible Sale

**TowForce** · March 22

(Bloomberg) -- A Miller Industries Inc. investor is urging the company to explore strategic alternatives including a sale of the business.

Advisory Research, which has a 3.25% stake in the manufacturer, said the company could fetch a premium of more than 30% in a sale and should hire independent advisers to oversee the process, according to a letter reviewed by Bloomberg News.

The investor said the company trades at a discount to public peers due to lagging margins and high operating costs. Shares of Miller Industries have climbed 14% this year, giving it a market value of $552 million.

“Outsized management compensation, hefty legal expenses, sizable corporate staffing levels and the use of two corporate jets are just a few examples of the board’s lack of operating discipline and oversight,” Advisory Research Chairman Matthew Swaim said in the letter.

A representative for Miller Industries didn’t immediately reply to a request for comment before normal business hours.

The Chicago-based asset manager said it had engaged with Miller Industries’ management team and board in the past several months and put forward two director candidates who were rejected by the company.

Miller Industries, based in Ooltewah, Tennessee, makes towing and recovery equipment. Lakeview Investment Group & Trading Co. also pushed for changes at the company last year, with the interaction resulting in the appointment of four board members as part of a settlement agreement, according to a statement at the time.

Advisory Research is an active equity manager and has been a shareholder of Miller Industries since 2022.

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The investor said in the letter it won’t be formally nominating directors in hope that the board can “focus on running the strategic review process.”