IAA-Ritchie deal has 70% chance of getting support from proxy advisors - analyst
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Ritchie Bros. (NYSE:RBA) planned acquisition of IAA Inc. (NYSE:IAA) has a 70% chance of gaining support from the proxy advisors ISS and Glass Lewis, according to United First Partners. 
After a call with a former IAA senior executive "we walked away from the call with an incrementally positive stance towards the transaction in terms of RBA managementâs ability to turn IAA around, the potential for IAA to better compete and react to CPRT, and for the pro forma company to deliver on the cost synergy side," UFP wrote in a note.
The UFP prediction comes as investors expect the influential proxy services could opine on their recommendations about the deal as soon as Friday as typically the firms announce their decisions about two weeks before a special meeting, which is set to March 14. 
The controversial deal has received support from Ritchie Bros. and IAA (IAA) holder in favor of the deal and has also seen holders come out against the transaction. Ritchie Bros. (RBA) shares initially plunged 18% on the day the original $7.3 billion IAA deal was announced in November with some analysts questioning the transaction.

In January, Ritchie Brothers (RBA) sweetened its offer for auto salvage company IAA (IAA) with a larger cash component as Starboard Value LP made a $500M investment in RBA. 
RBA holders Janus Henderson, Luxor Capital and Eminence Capital have come against the deal, while IAA holder Ancora has supported it. Franchise Partners and Eagle Asset Management, which together own ~8% of Ritchie Bros. (RBA) shares, are supportive of the transaction.