Media Center

Search

10/21/2025

Starboard Takes Big Stake in Construction Firm

Wall Street Journal (10/21/25) Thomas, Lauren

Starboard Value has taken a nearly 5% stake in Fluor (FLR) and plans to push for ways to boost the engineering and construction company’s shares, according to people familiar with the matter. Irving, Texas-based Fluor has a market value of almost $8 billion, with its share price down about 3% year to date. The company specializes in providing engineering and related services for big projects in industries including oil-and-gas and life sciences. Fluor has an almost 40% stake in NuScale Power (SMR), a business that designs and markets small, modular nuclear reactors. NuScale shares are up almost 150% this year, bringing the company’s market value to north of $12 billion, thanks to rampant power demand for data centers and other technologies fueled by the artificial-intelligence boom. Starboard thinks Fluor’s core business is being undervalued in the market relative to the value that investors are attributing to the NuScale stake, the people familiar with the matter said. The firm thinks Fluor should explore options for its NuScale stake, including a potential sale, the people said. Fluor invested in NuScale more than a decade ago and recently sold some of its shares. Starboard Chief Executive Jeff Smith is set to appear Tuesday at the 13D Monitor Active-Passive Investor Summit in New York City and is expected then to detail the firm’s thesis on Fluor, they said. Starboard thinks Fluor, which helps build critical infrastructures, should benefit from new government policies under President Trump that are accelerating a wave of planned investments in the U.S., the people familiar with the matter said. The firm also feels Fluor is well-positioned in a market where many of its peers have actually exited the construction industry, they said. In 2019, Starboard took a stake in construction and engineering firm Aecom (ACM) and pushed for a strategic review that resulted in it exiting the construction business. Aecom’s shares have been trading around all-time highs this month.

Read the article

10/21/2025

Unilever Delays Ice-Cream Spinoff, Citing U.S. Shutdown

Wall Street Journal (10/21/25) Look, Aimee

Unilever (UL) is pushing back the planned spinoff of its ice-cream business, home to brands including Ben & Jerry’s and Magnum, blaming the listing delay on the U.S. government shutdown. The U.K.-based company said Tuesday that the SEC was unable to declare the Magnum Ice Cream Company’s registration statement effective, which is needed to start trading on the New York Stock Exchange. The delay is the latest sign of disruption to business and financial markets stemming from the shutdown, which began at the start of the month. The stalemate in Washington has already left some companies feeling the pinch of stalled federal contracts, while investors have had to make do without scheduled economic data on employment and inflation. Unilever said it still aimed to complete the spinoff of its ice cream business this year but stopped short of providing a new date. The company had initially planned to list Magnum on Euronext Amsterdam, the London Stock Exchange and the NYSE on Nov. 10. Companies looking to list in the U.S. still have avenues to push forth, according to updated guidance the SEC published earlier this month. While the shutdown means the SEC can’t approve listings, companies can still file registration statements and wait 20 days, at which point they will be formalized automatically, according to the updated guidance. Unilever is considering a workaround to enable Magnum to list on the NYSE, a company spokesman said. The delayed ice cream spinoff is a blow for Unilever, which first said it would separate the business in March last year. The demerger is part of a broader effort by Unilever to simplify its operations and boost growth. Other consumer-goods companies have also begun to slim down portfolios and home in on core categories. Magnum, which generated more than $9 billion of revenue last year, began stand-alone operations in July. In September, it said it was aiming for higher profitability and sales growth after the demerger. Unilever previously said it would retain around 20% in the business for up to five years once the spinoff is completed — looking to sell down remaining shares over time. Unilever shareholders approved the spinoff at a meeting Tuesday. Nelson Peltz is a non-executive director at Unilever, joining the board in 2022 after his hedge fund, Trian Fund Management, built a stake in the company.

Read the article

10/21/2025

Starboard's Smith Says Tripadvisor Should Consider Selling Its Restaurant Booking Platform

Reuters (10/21/25) Herbst-Bayliss, Svea

Starboard Value CEO Jeff Smith said Tuesday Tripadvisor (TRIP) should consider selling its restaurant booking platform TheFork and possibly the entire company. Smith, speaking at the annual 13D Monitor Active Passive Investment Summit in New York, said Tripadvisor has an "amazing" brand, but "there is a huge opportunity to transform and reimagine the user experience to improve revenue growth." The company allows customers to find and review hotels. Its Viator unit lets users book and review tours and other experiences, while TheFork offers restaurant reservation services. "We believe TheFork, the most easily separable and least-integrated of the three businesses, could be sold at an attractive multiple," Smith said. At the end of the presentation, he said there may even be an opportunity to sell the entire company. "There are standalone opportunities for value creation at each of the Tripadvisor three businesses as well as opportunity to potentially sell TheFork or the entire company." Starboard has been engaging with Tripadvisor for several weeks and this was the first time Smith has discussed his team's thesis publicly. His hedge fund is pressing for change at the travel booking site after building a 9% stake in the company earlier this year. "TripAdvisor is too cheap for a company that is growing," he said. He said Viator's performance should improve meaningfully, noting that booking experiences is the fastest-growing segment in the travel industry. To transform Tripadvisor, Smith said, "we believe there is a substantial cost savings opportunity at Brand Tripadvisor, especially if revenue growth does not accelerate."

Read the article

10/21/2025

Coca-Cola Sells African Bottling Stake in $2.6 Billion Deal

Financial Times (10/21/25) Speed, Madeleine; Meyer, Gregory

Coca-Cola (KO) said it is “winning” in the global beverages market as activists put pressure on rivals PepsiCo (PEP) and Keurig Dr Pepper (KDP), revealing rising drinks volumes despite some consumers facing economic strain. The company said on Tuesday that global unit case volume rose by 1% in the third quarter, with flat volumes in its home market of North America. Arch-rival PepsiCo this month reported a 4% decline in North American organic beverage sales volumes. Its lagging share price compared with Coca-Cola has provided ammunition to Elliott Management, which is pushing for change at PepsiCo after taking a $4 billion stake last month. Another Coke competitor, Keurig Dr Pepper, has drawn an investment from activist Starboard Value following a sharp decline in its shares. James Quincey, Coca-Cola chief executive, alluded to the activist campaigns by citing a speech by former boss Robert Woodruff titled “The Future Belongs to the Discontented.” “We’ve been winning in the marketplace,” Quincey told analysts. “It’s easy to be discontented if you’re not doing well and you’re under pressure from everyone else in the investor base. The hardest thing is to say, I’ve done well and be discontented enough with yourself that you know you need to change and you know you need to transform.” Elliott wants PepsiCo to farm out its mostly in-house bottling network to third parties, emulating Coke’s moves in recent years to spin out its bottling businesses. Coca-Cola took another step in that direction on Tuesday, with London-listed Coca-Cola Hellenic Bottling Company acquiring a 75% stake in Coca-Cola Beverages Africa from Coca-Cola and Gutsche Family Investments for $2.6 billion. The deal gives Coca-Cola Beverages Africa an implied valuation of $3.4 billion and creates the second-biggest bottler in Coca-Cola’s distribution system. It will have a primary listing in London and also be listed in Johannesburg. The deal will allow the global soft drinks group to sell off its last big stake in its network of large bottling providers. The bottling system is now dominated by a handful of regional bottlers, including Coca-Cola Europacific Partners in Europe, Australasia and south-east Asia, and Arca Continental in Latin America. The drinks giant retains large stakes in many of the bottlers. In July, Coca-Cola sold a 40% stake in India’s Hindustan Coca-Cola Holdings to Jubilant Bhartia Group. “If we find the right partner to put these bottlers into their hands, they invest more, they do better. The bottler performs better and it helps us drive overall growth in the total system,” Quincey told analysts. Zoran Bogdanovic, chief executive of Coca-Cola HBC, said it hoped to eventually acquire all of the African business. HBC produces and distributes Coca-Cola drinks in 29 countries across Europe and Africa, including Greece, Italy, Russia, Egypt, and Nigeria.

Read the article

10/21/2025

Novo Nordisk Chair and Six Directors Exit After Dispute with Shareholder

Financial Times (10/21/25) Kuchler, Hannah

The chair and six independent directors of Novo Nordisk (NVO) are stepping down after a dispute with the Danish drugmaker’s majority shareholder, the Novo Nordisk Foundation, as it grapples with slowing profit growth and a drop in its share price. Helge Lund, chair of the company known for its weight loss and diabetes drugs, said the board was calling an extraordinary general meeting to elect new directors because the foundation was pushing for a “more extensive reconfiguration” than it had proposed. “Following dialogue with the Novo Nordisk Foundation regarding the future composition of the board of directors, it has not been possible to reach a common understanding,” Lund said. Lund, whose executive experience was in the energy industry, has also recently stepped down as chair of BP Plc (BP) after the oil major came under pressure from activist shareholder Elliott Management.

Read the article

10/21/2025

Impactive Capital’s Lauren Taylor Wolfe Says Her New Investment Idea is AI Proof

CNBC Pro (10/21/25) Li, Yun

Impactive Capital’s Lauren Taylor Wolfe took the stage at the 13D Monitor’s Active-Passive Investor Summit with a punchy line: “AI is not going to kill or disintermediate this business because ChatGPT can’t handle real poop or storms anytime soon.“ Her new idea is Advanced Drainage Systems (WMS), which she called the undisputed leader in plastic stormwater and residential septic systems. The co-founder at Impactive Capital said the company is the second largest recycler in North America that you’ve never heard of as it recycles over 500 million pounds of plastic annually. She highlighted that the company’s edge comes from its flexibility. “They toggle between virgin and recycled resins depending on oil prices. When oil spikes, they use recycled. When oil plummets, they capture margin. Either way, they win,” Taylor Wolfe said. That strategy helps protect gross margins, smooth earnings and diversify supply, she added. “This is a scaling story, not a COVID fluke,” Wolfe said. Shares of Advanced Drainage are up more than 22% in 2025.

Read the article

10/21/2025

Cracker Barrel CEO Explains Short-Lived Logo Change

Wall Street Journal (10/21/25) Thomas, Lauren

Cracker Barrel (CBRL) Chief Executive Julie Felss Masino said the company’s logo change that prompted a fierce backlash was designed to make it easier for drivers to see on highway billboards. It wasn’t meant to be ideological, she added. Masino made the comments at the 13D Monitor Active-Passive Investor Summit in New York City on Tuesday. Cracker Barrel replaced its longtime logo featuring a man in overalls leaning against a barrel, with a streamlined version featuring just the chain’s name. It reversed the change in late August after everyone from die-hard customers to President Trump weighed in, accusing the store of abandoning its heritage and tradition. “Part of this transformation is setting up success for the long term,” she said Tuesday. Masino attended the conference, along with Cracker Barrel’s general counsel, to discuss the company’s experience being engaged by an activist investor for over a decade. Sardar Biglari has already run seven proxy contests at the family-dining chain since 2011 and continues to pressure the company. Biglari, who is also the CEO of rival restaurant chain Steak ’n Shake, is a shareholder in Cracker Barrel through his investment funds. He has cited Cracker Barrel’s “poor capital allocation record” and said that its transformation plan didn’t boost investor confidence. Steak ‘n Shake, which Biglari owns, has also called for Masino to be fired following the logo change. Masino said she had lunch with Biglari at a Cracker Barrel restaurant after taking over as CEO in late 2023 and that he brought few new ideas to the table. “Mr. Biglari’s playbook…is making many misinformed statements.” Cracker Barrel’s shares are down about 30% year to date, bringing the company’s market capitalization around $825 million. It remains to be seen how much long-term damage Cracker Barrel might suffer as a result of the controversy. Cracker Barrel also dropped the marketing firm that had advised on the logo change and halted a handful of store remodels that evoked a more modern design. Masino joined Cracker Barrel after years at companies like Starbucks and Taco Bell. She soon embarked on a three-year transformation of the brand, which included paying for store remodels and menu upgrades. After catering to retirees and families on road trips, Cracker Barrel was aspiring to court younger guests. Masino previously said the chain did extensive customer research before making any of its updates.

Read the article

10/21/2025

TripAdvisor Should Weigh Sale or Divest TheFork, Starboard Says

Bloomberg (10/21/25) Tse, Crystal

TripAdvisor Inc. (TRIP) should explore a sale of its restaurant review business TheFork or sell itself altogether, according to Starboard Value LP. TripAdvisor has a strong brand and could appeal to several potential buyers, Starboard Chief Executive Officer Jeff Smith said at the 13D Active-Passive Investor Summit in New York on Tuesday. TripAdvisor rose 6.6% to $17.68 at 9:33 a.m. in New York trading, giving the company a market value of about $2.3 billion. Smith also said TripAdvisor’s Viator unit is growing slower than rival GetYourGuide, despite being the largest, online-experience booking marketplace. TripAdvisor has seen lower margins over time and should be more profitable, Smith said. Its data set can be monetized by striking licensing agreements with artificial intelligence companies, he said. Starboard unveiled a 9% stake in TripAdvisor in July through a regulatory filing. The company said at the time that it is “committed to driving long-term value for our shareholders.” Palliser Capital, another activist investment firm, pushed the company to explore a sale in August. The London-based firm urged the company to form a strategic committee to unlock value in Viator and TheFork. TripAdvisor disclosed in January that it had received a non-binding takeover proposal. TripAdvisor and its board said it was “inadequate” and did not pursue it further.

Read the article

10/21/2025

Ananym Suggests Baker Hughes Spin Out its Oil Services Equipment Business

Reuters (10/21/25) Herbst-Bayliss, Svea

Ananym Capital would like to see energy and technology company Baker Hughes (BKR) spin out its oil field services and equipment business, arguing such a step could help push up the stock price by at least 60%. "That's our preferred path based on our analysis," Ananym co-founder Charlie Penner said on Tuesday at the 13D Monitor Active Passive-Investment Summit in New York. "But we also have full confidence in Baker Hughes' board and management to choose the optimal path for shareholders." The company, which now has a market value of $46 billion, was created in 2017 through a merger of Baker Hughes and GE Oil and Gas and has two businesses. At current market valuations, the whole company should be trading at 13X 2026 estimated earnings before interest, taxes, and amortization, Penner said, noting however that it is trading only at 9X EBITDA. The Industrial and Energy Technologies business makes turbines, motors, and compressors for LNG infrastructure and low-carbon energy sources like electricity from renewables, geothermal, and hydrogen. The oil field services and equipment business makes equipment and provides services for oil and gas exploration and the legacy Baker Hughes business. Baker Hughes' stock price is up this year and has outperformed rivals Halliburton (HAL) and Schlumberger, which is now SLB NV (SLB). But the bulk of Baker Hughes' earnings is contributed by the technologies unit, and management and the board recognize that investors have imposed a "sum of the parts valuation discount," Penner said. Baker Hughes said it values the perspectives of all shareholders, and that it "will continue to engage with Ananym Capital to better understand their views and share ours." "We remain focused on executing our strategy to drive growth and deliver additional value to shareholders," a spokeswoman said. Earlier this month, Baker Hughes said it will conduct a "comprehensive evaluation of capital allocation, business, cost structure and operations to continue delivering shareholder value." Penner and partner Alex Silver founded Ananym last year and have held constructive talks with Baker Hughes' management. By separating the oil field business, the technologies segment could be properly valued, and each business could optimize its capital allocation strategy, including more investment and management focus for technologies. The oil field business could be a "strong player" given its earnings are more weighted to production revenue for existing wells, instead of building new wells, and it has more international exposure than Halliburton and SLB, Penner said. JPMorgan analysts have praised the company's actions, noting in a note earlier in October that it has "been one of the best-performing stocks in OFS (oil field services) by a wide margin."

Read the article
Next