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Mondelez International Inc. said it has added activist investor Nelson Peltz to its board, and news reports have indicated that Peltz will be backing away from the push for PepsiCo to buy the company following his criticism of Mondelez's performance since its split from Kraft Foods Inc.
Peltz is CEO and a founding partner of Trian Fund Management L.P., which is one of Mondelez's largest shareholders, with a current beneficial ownership of more than 46 million shares, according to the company.
"Given that Pepsi's not interested in Plan A, we are encouraging them to pursue Plan B," Anne Tarbell, a spokeswoman for Trian, told the Associated Press.
With the addition of Peltz, Mondelez said in a press release its board will expand to 12 members, 11 of whom are independent and all of whom are elected annually. Peltz will also be included in the company's slate of nominees for election to the board at the 2014 annual meeting of shareholders.
Separately, Mondelez has announced a major upgrade in plant equipment at its Bournville factory in Birmingham, U.K. to bridge the productivity gap with Europe and pave the way for Bournville to become a "world-class manufacturing site," the Birmingham Post reported.