P&G: shareholders told to not elect Nelson Peltz.
(CercleFinance.com) - Procter & Gamble recommended that shareholders do not elect activist investor Nelson Peltz as a board director at the company's next annual general meeting in October.
In a letter to shareholders, the household products maker says Trian Fund Management's representative "does not bring any new or needed skills" to the board.
Neslon Peltz "initiated the proxy contest to satisfy his own agenda and to meet the expectations of his limited partners," the company said in the statement.
P&G - which says it is now "on the right track" - pointed out that it is delivering growth and shareholder value with a strategy and plan that is working, with fiscal 2017 objectives having already been met or even exceeded.
Its shares have risen over 8% year-to-date.
Procter & Gamble also notes that since 1 November 2015, the weighted average return of the companies where Neslon Peltz serves as a board member has only been 8%.
Considering the case of Mondelez - a large food company similar to that of P&G - returns have even been minus 3%, the group said.
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