Dorrance family, who own 40% of the shares, does not want to change their business at all. Hedge fund manager Daniel Loeb runs Third Point, which owns about 7% of Campbell’s stocks, has been desperately trying to convince Campbell’s to make a series of changes that include changing the brand from recipes to logos and ditching the iconic red and white cans.
When the family refused to make any changes, Loeb filed a lawsuit against the company for mismanagement and, in an open letter, accused them of “waste, ill-conceived strategy and inept execution.” Campbell’s responded by calling Loeb “unoriginal and uninformed.”
Third Point expressed interest in restructuring the board, and earlier this week, the two sides were able to agree on two of the five suggested directors from Third Point to be hired to the board.
This could mean that more changes could be on the way for Campbell’s, and they may have to make these changes if they want to survive.
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