According to yesterday’s filing with the SEC, MSC Software interim CEO Ashfaq Munshi is continuing on beyond the June 30 deadline originally imposed by the company’s Board of Directors—and will be paid a $500,000 bonus when a permanent CEO is appointed. The filing ends with a terse: “Payment of the bonus will accelerate in the event of a change in control of the company.”
From all accounts by customers and employees, Mr. Munshi is having a positive effect on MSC: improving morale, reviving a sometimes tired product roadmap, and engaging with customers and prospects. There’s still no word on Elliot Associates’ stake in MSC, but companies are always fair-game for a takeover that benefits shareholders more than continuing on the current path, so we’ll just have to wait and see. Perhaps the current path satisfies Elliot and other owners with a significant enough stake to force changes.