ACTIVIST INVESTOR
P&G’s battle of the boardroom now in hands of shareholders
New York — A costly months-long battle over the direction of one of the US’s biggest companies will culminate on Tuesday with a shareholder vote at Procter & Gamble (P&G) headquarters. The fight pits the maker of Gillette razors and Olay soap against activist investor Nelson Peltz, a billionaire hedge fund chief who has pitched himself as the outsider needed to reignite P&G, the largest company yet to face a proxy battle. The grizzled veteran of high-profile boardroom brawls accuses the company of operating with excessive cost, being weak on innovation and missing the boat on key shifts in consumer behaviour. Peltz, whose firm Trian Partners holds 1.5% of P&G shares, attributes declining market share in key businesses to P&G’s "slow-moving and insular culture". His campaign has been fortified by support from respected proxy advisory services, including Glass Lewis, which said a new voice might help reinvigorate a giant that appears to suffer from a "degree of complacency". P&G count...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.