Nelson Peltz & Trian Nix Compromise With DuPont, Stock Rises
E I Du Pont De Nemours And Co. (NYSE: DD) has apparently failed to head off a proxy battle with Nelson Peltz when its proposed compromise was met with rejection by the activist investor.
DuPont said on Thursday that it offered to accept one of four candidates proposed as board members by Peltz's Trian Fund on January 8.
"Trian," however, "has refused to consider any proposal that did not include Mr. Peltz himself joining the DuPont board," the company told investors in a filing.
"The best thing we can do now is to deliver strong performance," Chief Executive Ellen J. Kullman said.
Trian, with a 2.7 percent stake in the $66.58 billion DuPont, wants to see the company split itself into multiple entities and replace its management, a move it says could save $4 billion in annual expenses.
With shares up nearly 20 percent in the past 12 months, DuPont recently said it will spin off its chemicals unit. The company also announced a cost-cutting plan it says will save $1 billion.
DuPont stock is up more than 2 percent during Thursday's trading.
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