Aluminum giant is looking to cut a deal with Paul Singer

Aluminum giant Arconic is giving itself two more weeks to reach a truce with activist investor Paul Singer.

Bruised by a battle that spurred the ouster of CEO Klaus Kleinfeld last week, the aluminum parts maker announced Monday that it is postponing its annual meeting — originally scheduled for May 16 — to the end of the month.

The company also said it’s willing to nominate two out of four nominees from Singer’s hedge fund Elliott Management to its board, so long as they agree to be vetted and meet qualifications. New nominees will require Arconic to issue new proxy materials.

“The Arconic Board believes that a settlement on reasonable terms could benefit all shareholders by putting an end to this distracting proxy fight,” Arconic said in a statement.

Arconic also on Monday released communications between the company and Singer, with both of them sounding drained by the lengthy board battle.

“Let me say that the outset that while these processes are always challenging, this one has been even more difficult than usual,” Singer wrote in a letter to Arconic’s board Sunday.

Last week, longtime CEO Kleinfeld was ousted after the board discovered he sent an unauthorized letter to Singer that was reportedly accompanied by a soccer ball.

The bizarre letter was laden with vague insinuations about Singer’s alleged partying in Berlin during the 2000 World Cup, appearing to suggest that Singer had worn an Indian headdress and danced in a public fountain while singing “Singin’ in the Rain.”

Arconic’s board said the letter showed “poor judgement” and Elliott interpreted it as “a threat to intimidate or extort” Singer.

Since his ousting, Kleinfeld has resigned from his positions on the boards of Morgan Stanley and Hewlett-Packard Enterprises.

Reps from Elliott did not immediately respond to requests to comment.

Arconic is scheduled to report earnings Tuesday.