On September 29, 2025, activist investor Irenic Capital announced it had taken a roughly 2% position in Workiva Inc. and issued a presentation to the board outlining actionable recommendations. Irenic is calling for improved operating efficiency, a review of strategic alternatives including a potential sale of the company, and enhanced corporate governance practices.
Irenic Capital highlighted Workiva's lack of profitability despite scaling towards $1 billion in revenue by 2026 and over a decade in the public markets. The activist firm pointed to inefficiencies in the company's operating model, particularly within its sales force, where sales and marketing expenses constitute 43% of revenue compared to an average of 31% for peers.
The activist also raised concerns about Workiva's corporate governance, citing its dual-class share structure that allows the three founders to control the company. Irenic is advocating for the collapse of this structure and the addition of two new board members, including Irenic executive Krishna Korupolu, to bring fresh oversight and address the company's discounted valuation compared to application software rivals.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.