Results for: Shareholder Activism

Edge One Capital, a significant BuzzFeed investor, has sent a scathing letter demanding a complete overhaul of the company’s board and governance structure. The letter accuses BuzzFeed CEO Jonah Peretti of operating with little accountability and criticizes the board’s lack of relevant experience and ineffective oversight, particularly in the wake of a disastrous acquisition and continued revenue decline. Edge One Capital calls for a ‘one share, one vote’ structure, removal of anti-shareholder provisions, and a board comprised of directors with relevant industry expertise.

Southwest Airlines faces a major board restructuring as Executive Chairman Gary Kelly and six other members announce their resignations, following pressure from shareholders. This move comes after criticism surrounding the airline’s recent performance and operational issues.

News Corporation (NWS) is facing pressure from its largest shareholder, Starboard Value LP, to eliminate its dual-class share structure. Starboard argues that this structure, which gives more voting power to the founder’s heirs, is not in the best interests of shareholders and is detrimental to corporate governance. The move comes as News Corp’s stock has struggled to keep up with its perceived value.

Billionaire hedge fund manager David Einhorn criticizes the current market for favoring large companies over smaller, potentially undervalued ones. He argues that the dominance of passive investing by major ETF issuers like Vanguard and BlackRock stifles shareholder activism and hampers corporate governance. Einhorn also points to the lack of IPOs as a sign of a broken market.

A group of Benedictine nuns in Kansas are using their investments to push for social justice, challenging corporations on issues like climate change, human rights, and diversity. Despite facing criticism and rarely seeing their resolutions pass, they persist in their mission, proving that even small actions can make a difference.

More than a fifth of Shell shareholders voted against the company’s climate strategy at its annual general meeting, rejecting a resolution calling for alignment with Paris Agreement goals. The meeting was marked by interruptions from protesters condemning Shell’s environmental and human rights record. Despite a slight decrease from last year, nearly 19% of voters supported the climate resolution, reflecting investor concerns over Shell’s commitment to reducing emissions.

In an unprecedented move, 58% of shareholders in Australian oil and gas giant Woodside have rejected the company’s decarbonization plans, marking the largest investor uprising against a major emitter’s climate approach. Environmental activists and large investors criticized Woodside’s targets as insufficient and urged the board to align its business with international efforts to mitigate global warming. The vote, though non-binding, is a significant blow to Woodside’s board, who spent two years engaging with shareholders to improve its strategy.