- On Monday, Salesforce, Inc CRM issued a joint statement regarding its 2023 annual meeting and related director elections.
- Activist investor Elliott Investment Management decided not to proceed with director nominations, and Salesforce and Elliott will continue the productive working relationship.
- Salesforce's upcoming annual meeting will proceed in the ordinary course.
- As of January, Activist investor Elliott looked to nominate a slate of directors at Salesforce, signaling a fight for board seats.
- Elliott discussed this with numerous technology executives and those with other industry backgrounds.
- Elliott made a multibillion-dollar investment in Salesforce. Elliott managing partner Jesse Cohn said he looked forward to "working constructively" with a company he had followed for nearly two decades.
- Salesforce slashed 10% of its workforce and reduced its office space in specific markets as customers became cautious about spending following the pandemic recovery and macro headwinds.
- Salesforce also lost its co-CEO Bret Taylor, who resigned to pursue entrepreneurship.
- The decline in Salesforce's shares drew a hive of activists to the company, including Starboard Value LP, Jeff Ubben's Inclusive Capital, and ValueAct Capital Partners LP.
- Elliott is known for taking on tech companies and forcing changes, including sales and executive shake-ups.
- Salesforce COO Brian Millham had hinted at further layoffs as activist investors kept pressing management to take actions to improve profits.
- Earlier In March, Salesforce reported better-than-expected Q4 results and issued strong guidance.
- Salesforce Q4 revenue increased 14% to $8.38 billion, which beat average analyst estimates of $7.99 billion. The company reported quarterly earnings of $1.68 per share, which beat consensus estimates of $1.37.
- Price Action: CRM shares traded lower by 0.28% at $190.60 in the premarket on the last check Monday.
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