Air Products Up Sharply; Pressed By Ackman, Names New CEO

Air Products & Chemicals APD gained sharply in pre-market trading after the company named Seifi Ghasemi chief executive, replacing John McGlade.

The specialty chemicals company has been under pressure to obtain new leadership from activist shareholder Bill Ackman, who told investors in February that Air Product's share price could double within several years if the company hired a new CEO.

Ackman's Pershing Square Capital acquired a nine percent stake in Air Products about a year ago, making it the company's largest shareholder.

Air Products said in September that McGlade would retire in 2014.

Air Products has struggled with rising natural gas prices and weak markets in Europe. The company recently cut its earnings outlook.

Ghasemi's appointment effective July 1 means he will step down as chief executive of Rockwood Holdings. Rockwood, another chemicals company, named its chief financial officer Robert J. Zatta to the additional role of acting CEO.

Air Products & Chemicals is trading up almost eight percent at $131.10 just after the opening bell.