Activist hedge fund Starboard Value LP said March 5 that it nominated Bridget Berman and Robert Steele for election as directors to Newell Brands Inc.'s board.
Berman and Steele are an addition to the 10 people Starboard nominated Feb. 12. The election will be held at Newell's annual stockholder's meeting.
The hedge fund also issued a letter to Newell's shareholders March 5, which highlighted "serious concerns" regarding the company's underperformance and deteriorating operating performances under the current leadership. The letter, signed by Starboard Value's Jeffrey Smith, added that Newell's margins are continuously declining, and there is "nothing apparent" that indicates chances of betterment in the future.
Starboard noted that the resignation of three directors, Martin Franklin, Ian Ashken and Domenico Sole in January showed some "serious discord" on the company’s board. The activist investor said these three former directors have agreed to work with Starboard to replace the company’s board at its 2018 annual meeting of shareholders.
