Bloomberg reports that Danone SA has attracted the attentions of an activist investor for the second time in three years. On this occasion, the outsider stands a good chance of bringing about change. Perhaps it will force the French food company into the shakeup it needs.
Bluebell Capital Partners, run by finance veterans and the former head of Bulgari, is calling for the chairman and chief executive officer roles at Danone to be split, and for an independent chairman to be appointed.
Ultimately, that could pave the way for CEO and Chairman Emmanuel Faber to be replaced. He has been at the helm since 2014. A compromise would be to appoint a powerful chairman to put pressure on Faber to deliver.
Meanwhile, Nestle SA’s CEO Mark Schneider has done many of the things that Danone is aiming to do. That might explain why its valuation premium to Danone is close to its biggest level in five years.
