Procter & Gamble Faces Showdown With Activist Investor Peltz
" the investment firm wrote in its proxy materials.
that As a member of the board, Mr. Peltz would seek to help the company increase sales and profits, regain lost market share, and address the company’s structure and culture, and we believe that he can contribute far more value operating from within the company’s boardroom than by merely advising the company from the outside,
By MICHAEL J. de la MERCEDJULY 17, 2017
The billionaire investor Nelson Peltz disclosed on Monday
that he was seeking a board seat at Procter & Gamble, setting up one of the biggest showdowns between an activist shareholder and a corporate titan.
strategy, plans, and management." Trian said on Monday
that it was not seeking to break up Procter & Gamble, a well-worn tactic of activists. that confident that the changes being made are producing results, and expresses complete support for the company’s
This is not the first time that Procter & Gamble has faced activist pressure: The billionaire William A. Ackman pushed the board to oust Robert
A. McDonald as chief executive in 2013, forcing Mr. McDonald’s predecessor, Alan G. Lafley, to return to the post from retirement.
If Mr. Peltz is elected, Trian said, the firm would renominate the director who
had been defeated, effectively expanding Procter & Gamble’s board by one seat.
In a regulatory filing, Mr. Peltz’s investment firm, Trian Fund Management, argued
that Procter & Gamble, the consumer products giant, had underperformed financially and was in need of a shake-up.