Delaware Supreme Court to Review ATG Capital’s Board Nomination Challenge at Empery Digital
Event summary
- Delaware Supreme Court to hear Empery Digital’s appeal on ATG Capital’s nomination notice on October 7, 2026.
- ISS recommends voting for 7 of Empery Digital’s 9 director nominees, despite Empery Digital’s objections.
- Court of Chancery sanctioned ATG Capital’s nominee, Mr. Gliksberg, for destroying shareholder campaign documents.
- ATG Capital seeks reimbursement from Empery Digital shareholders for nearly $10 million in expenses.
- Shareholders must vote on or before October 13, 2026, to ensure their votes are counted.
The big picture
The Delaware Supreme Court’s review of ATG Capital’s nomination notice highlights the escalating proxy battle at Empery Digital, with significant implications for corporate governance and activist investing strategies. The case underscores the importance of transparency and accountability in board nominations, particularly in the context of digital asset and AI infrastructure investments. Empery Digital’s disciplined capital allocation strategy and bitcoin treasury approach add another layer of complexity to the ongoing dispute, as shareholders weigh the long-term value of the company’s strategic direction against the immediate risks of activist intervention.
What we're watching
- Governance Dynamics
- How the Delaware Supreme Court’s decision will impact Empery Digital’s board composition and governance structure.
- Legal Strategy
- Whether Empery Digital can sustain its legal defense against ATG Capital’s nominations and reimbursement claims.
- Shareholder Influence
- The pace at which institutional shareholders align with Empery Digital’s recommendations versus ATG Capital’s nominations.
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