Florida entrepreneur discusses JetBlue board seat as stake nears 10%

 Vladimir Galkin, the little-known Florida-based investor who amassed a substantial stake in JetBlue Airways Corp. in recent months, met with the carrier’s top executive to discuss a possible board seat.

The conversations were revealed in a regulatory filing that showed the shareholder had increased his holding to 9.98%, solidifying him as the airline’s third-largest investor. Galkin said in an interview that he met with JetBlue Chief Executive Officer Joanna Geraghty and Chief Financial Officer Ursula Hurley earlier this week and raised the possibility of joining the board “at some point.”

“I have not decided whether I want to become a director,” he said. “Any consideration would, of course, require further discussions with the board and adhering to their nominating process.”

The potential board campaign adds a new wrinkle for an airline that already has an activist investor. JetBlue earlier this year gave Carl Icahn a pair of board seats after the investor took a stake of nearly 10%.

The airline is in the midst of a turnaround effort after federal judges blocked a planned acquisition and a partnership with another carrier, limiting its growth prospects. Geraghty has detailed plans to pull out of some cities and delay $3 billion in new aircraft purchases to help control persistently high costs. 

JetBlue’s shares rose 1.9% as of 8:09 a.m. Friday before regular trading in New York. The stock was down nearly 3% this year through Thursday’s close.

Galkin said he was “really impressed” by Geraghty and the progress her team has made this year. He said the CEO didn’t make any board commitment in their conversation and encouraged him to speak with the nominating committee as required by the company’s bylaws.

In a statement, JetBlue said it “regularly speaks with shareholders and investors to listen to their views on the company’s strategy and progress.” A spokesman declined to comment on discussions with individual shareholders.

Galkin built his fortune in part through GameStop Corp. shares during the meme stock craze. He cofounded and owns a majority stake in HUBX, an online global marketplace for wholesale electronics. 

The investor reiterated in the interview with Bloomberg that he will hold his JetBlue investment to below 10%. Reaching a 10% stake triggers additional disclosure requirements and would allow him to call for a special shareholder meeting. He would also be considered an insider.