GNK Holdings Issues Open Letter to BARK Shareholders Calling for Greater Accountability and a Clear Path to Shareholder Value

GNK challenges BARK’s rejection of its prior cash bid, contrasting that valuation with BARK’s current post-reverse-split share price.

Rhea-AI Summary

GNK Holdings released an open letter to BARK (BARK) shareholders criticizing BARK's Board for rejecting GNK's earlier all-cash acquisition proposal and calling for greater accountability and a clearer path to shareholder value.

GNK recounts that it submitted a preliminary, non-binding proposal to acquire BARK for $1.10 per share, equivalent to $22.00 per share after BARK's subsequent 1-for-20 reverse stock split, which it states was a 22% premium to a prior $0.90 per-share proposal from a group that included BARK's CEO and Executive Chairman. The Special Committee rejected GNK's offer, asserting the standalone strategy would better maximize long-term value. GNK highlights that BARK's shares closed at $9.19 on September 14, 2026, which it calculates is about 58% below its proposed split-adjusted price, and says it will continue evaluating avenues to protect its investment and advocate for BARK shareholders.

Positive

• None.

Negative

• BARK share price $9.19 vs prior GNK cash proposal equivalent of $22.00, about 58% lower

News Explained

GNK's proposal remains only a preliminary, non-binding approach: the release says no definitive agreement was entered into and it is not a current offer, so it creates no disclosed acquisition, cash payment, or ownership change for BARK holders.

Market Context

BARK's pre-publication close was $9.14, down 4.69% on the prior day; the open letter addressed that ...

Analysis

BARK's pre-publication close was $9.14, down 4.69% on the prior day; the open letter addressed that existing valuation context, while the supplied data does not show a post-publication reaction.

Key Figures

Cash proposal: $1.10 per share Split-adjusted proposal: $22.00 per share Premium: 22% +3 more

Cash proposal

$1.10 per share

Earlier preliminary acquisition proposal

Split-adjusted proposal

$22.00 per share

After BARK's 1-for-20 reverse stock split

Premium

22%

Compared with the $0.90 per-share proposal from another group

BARK closing price

$9.19 per share

September 14, 2026 close

Value gap

58%

Stated discount of the September 14 close to the $22.00 proposal

Reverse split

1-for-20

Subsequent BARK reverse stock split

Key Terms

reverse stock split, non-binding, proxy

3 terms

reverse stock split financial

"after adjusting for BARK's subsequent 1-for-20 reverse stock split"

A reverse stock split reduces a company's number of outstanding shares while raising the price per share proportionally, so the total value of each investor's holding is unchanged; a 1-for-10 split turns 100 shares worth $1 each into 10 shares worth $10 each. Companies often do this to regain compliance with an exchange's minimum price rule or to attract investors who avoid very low-priced stocks.

non-binding financial

"The acquisition proposal discussed in this communication was preliminary and non-binding."

"Non-binding" describes an agreement or statement that does not legally require the parties involved to follow through with its terms. It’s like a handshake or a written promise that shows intent but isn’t enforceable by law. For investors, understanding whether an agreement is binding or non-binding helps gauge how seriously the parties are committed and how much weight to give to the promises made.

proxy regulatory

"any future solicitation of proxies from BARK shareholders"

A proxy is the authorization a shareholder gives to another person or document to cast votes on their behalf at a company meeting. Think of it like handing someone your voting ticket so they can represent your choices on board elections, executive pay, mergers and other big decisions; it matters because proxies determine who controls the company and which proposals pass, directly affecting share value and investor returns.

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GNK Holdings highlights the significant gap between its rejected $22.00 per-share split-adjusted cash proposal and BARK's recent market price

STONY POINT, N.Y., Sept. 15, 2026 /PRNewswire/ -- GNK Holdings LLC today issued the following open letter to shareholders of BARK, Inc. (NYSE: BARK):

AN OPEN LETTER TO BARK SHAREHOLDERS

From GNK Holdings LLC

Fellow BARK Shareholders,

Earlier this year, GNK Holdings LLC submitted an all-cash proposal to acquire BARK, Inc. for $1.10 per share, equivalent to $22.00 per share on a post-reverse-split basis.

Our proposal represented a 22% premium to the $0.90 per share proposal previously submitted by a group that included BARK's CEO and Executive Chairman.

We believed then—and continue to believe today—that BARK is a great brand with tremendous potential. Our proposal was not based on a lack of confidence in BARK. Quite the opposite. We saw an opportunity to combine BARK's brand and loyal customer base with experienced operators, disciplined capital allocation and a clear strategy designed to unlock the Company's potential.

The Special Committee ultimately rejected our proposal.

In announcing that decision, BARK stated that our offer did not adequately reflect the value of the Company and that continuing to execute the Company's standalone strategy represented the best path to maximize long-term stockholder value.

The results since then speak for themselves.

Our $1.10 proposal is equivalent to $22.00 per share today after adjusting for BARK's subsequent 1-for-20 reverse stock split.

As of September 14, 2026, BARK's shares closed at $9.19 per share.

That means BARK's stock is now trading approximately 58% below the value we offered shareholders in cash.

We find this outcome extremely frustrating.

When a Board rejects a substantial all-cash offer because it believes shareholders will receive greater value by remaining independent, shareholders have every right to judge that decision against the results that follow.

Management and the Board asked shareholders to believe in their strategy. They rejected an opportunity for shareholders to receive $22.00 per share on today's split-adjusted basis and instead told the market that BARK was worth more.

Today, the market is telling a very different story.

We do not believe shareholders should simply accept this destruction of value without accountability.

GNK Holdings remains a believer in BARK. We believe the brand is valuable. We believe the customer base is valuable. And we believe there remains significant value that can be unlocked with the right leadership, operating discipline, strategic vision and alignment with shareholders.

Our frustration is not with BARK.

Our frustration is with the stewardship of BARK.

Shareholders deserve a clear explanation of how rejecting $22.00 per share in cash was consistent with maximizing shareholder value when the Company's shares now trade at less than half that amount.

They deserve to understand what concrete actions the Board and management intend to take to restore the value that they told shareholders existed.

And, most importantly, shareholders deserve a Board and management team whose interests are fully aligned with theirs.

GNK Holdings intends to continue evaluating all available avenues to protect our investment and advocate for the interests of BARK shareholders.

The status quo is not good enough.

Nachum Klugman

GNK Holdings LLC

About GNK Holdings LLC

GNK Holdings LLC is an investment firm focused on public and private market opportunities. GNK Holdings seeks to identify investments where disciplined capital allocation, operational focus and strong alignment with shareholders can create long-term value.

Important Disclosures Regarding GNK Holdings LLC's BARK, Inc. Shareholder Communication

• This communication reflects the views and opinions of GNK Holdings LLC as of the date hereof and is based on information believed by GNK Holdings to be accurate and reliable. GNK Holdings undertakes no obligation to update this communication except as may be required by applicable law.
• The acquisition proposal discussed in this communication was preliminary and non-binding. No definitive agreement was entered into, and this communication does not constitute a current offer to purchase or sell securities, a tender offer, or an offer to enter into any transaction.
• Certain statements in this communication, including statements regarding BARK's potential, shareholder value, strategy, leadership, future actions by GNK Holdings and possible outcomes, are forward-looking or statements of opinion. Actual results and outcomes may differ materially from those expressed or implied.
• GNK Holdings and its affiliates may beneficially own securities of BARK and may from time to time buy or sell such securities, subject to applicable law. Their interests may differ from those of other BARK shareholders.
• This communication is not intended to constitute investment advice or a recommendation to buy, sell or hold any security. Investors should make their own investment decisions based on their own review of publicly available information and consultation with their advisers.
• To the extent this communication is deemed to constitute solicitation material in connection with any future solicitation of proxies from BARK shareholders, GNK Holdings will comply with applicable requirements of the Securities Exchange Act of 1934 and the rules and regulations of the Securities and Exchange Commission. No solicitation is being made by this communication for any meeting for which definitive proxy materials have not been filed and furnished as required by applicable law.

View original content:https://www.prnewswire.com/news-releases/gnk-holdings-issues-open-letter-to-bark-shareholders-calling-for-greater-accountability-and-a-clear-path-to-shareholder-value-302878659.html

SOURCE GNK Holdings LLC

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What acquisition proposal from GNK Holdings is referenced in the letter?

GNK describes an earlier preliminary, non-binding, all-cash proposal to acquire BARK for $1.10 per share, which it states equals $22.00 per share on a post-1-for-20 reverse-split basis. GNK also says this represented a 22% premium to a prior $0.90 per share proposal submitted by a group that included BARK's CEO and Executive Chairman.

How does GNK characterize the Special Committee’s response to its proposal?

GNK notes that BARK's Special Committee rejected its proposal and that BARK stated the offer did not adequately reflect the Company's value and that continuing to execute BARK's standalone strategy represented the best path to maximize long-term stockholder value.

What actions does GNK say it may take following this letter?

GNK states that it intends to continue evaluating all available avenues to protect its investment and advocate for the interests of BARK shareholders. The firm also notes that, to the extent the communication is deemed proxy solicitation material in connection with any future solicitation of proxies, it will comply with applicable securities laws and regulations.

Is GNK’s communication a current offer to buy or sell BARK securities?

No. GNK specifies that the acquisition proposal discussed was preliminary and non-binding, that no definitive agreement was entered into, and that this communication does not constitute a current offer to purchase or sell securities, a tender offer, or an offer to enter into any transaction.

What conflicts of interest or holdings does GNK disclose?

GNK discloses that it and its affiliates may beneficially own securities of BARK and may from time to time buy or sell such securities, subject to applicable law, and that their interests may differ from those of other BARK shareholders.