Third Point LLC, in the midst of a proxy battle with Campbell Soup Co, has cut the number of nominations to the soup maker board to five out of 12, investment companies said on Friday.
REUTERS: Third Point LLC, in the midst of a proxy battle with Campbell Soup Co, has cut the number of nominations to the soup-making board to five out of 12, investment companies said on Friday.
Third Point, a US $ 17 billion hedge fund run by Daniel Loeb, accused the 149-year-old packaged food company of mismanaging and destroying shareholder value.
In September, hedge funds nominated 12 directors, including the Campbell family heir who controlled, to replace all Campbell board members at the company's 29 November shareholders meeting.
Campbell has pushed for his council to remain intact. It did not respond to requests for comments on the latest step Third Point.
The heirs of Dorrances, one of the richest families in America, have long controlled Campbell and are currently sitting on his council.
Heirs have said they intend to choose 41 percent of their shareholdings in support of the current Campbell board.
In comparison, Third Point has about 7 percent of shares in Campbell.
Smaller than five Derat Loeb included Third Point Munib Islam executive, Comscore executive Sarah Hofstetter, Blue Buffalo pet food maker Kurt Schmidt, former CEO of Hostess Brands, William Toler and Bozoma Saint John, former Uber executives.
"We now understand that Short Slate is exactly what is needed to set Campbell on a sustainable path to new competitiveness and growth," Third Point said in a letter to Campbell shareholders.
(Reporting by Aishwarya Venugopal in Bengaluru)