Updated:
Original:

Dan Loeb Seriously In The Soup, Possibly Crying Therein

Winning his Campbell’s fight may be worse than losing.
Author:
By Renee Comet (Photographer) [Public domain or Public domain], via Wikimedia Commons

By Renee Comet (Photographer) [Public domain or Public domain], via Wikimedia Commons

Dan Loeb is a man used to getting what he wants, or making those who stand in the way thereof regret it. So when he politely suggested that the members of the Campbell family owning a big chunk of the Campbell Soup Co. might want to stop doing that because they’re awful at it, he expected acquiesce. Not only did he not get that, Campbell’s went ahead and decided that rather than sell all of itself, it would sell a couple of bits of itself. This is precisely the kind of thing that makes Dan Loeb quite angry, and so it did, leaving him no choice but to demand the scalp of each and every person currently serving on the Campbell’s board. It also, alas, left him without much of a plan should he succeed.

Mr. Loeb nominated 12 new directors last week but is no longer pushing for a sale.

Private equity investors might in other circumstances have considered partnering with the founding family’s descendants, who own some 40 percent of the stock. But a deal to buy the pretzel company Snyder’s-Lance left Campbell with nearly $10 billion of debt — more than five times a forecast of its earnings before interest, tax, depreciation and amortization for the current financial year….

Kraft is one of few potential industry buyers. But Warren Buffett, chief executive of Berkshire Hathaway and Kraft’s largest shareholder, recently said it would be hard to justify a large premium.

That may mean Mr. Loeb — assuming he can win over enough insiders to seize control of the board — has to find his own recipe.

Third Point May Need a New Recipe for Its Campbell Soup Turnaround [Breakingviews via DealBook]

Related

© José Luiz Bernardes Ribeiro / 

Elderly Soup Scions Invite Dan Loeb’s Ire, Get It

The Third Point chief’s poison pen may be a bit rusty, but it still works just fine.

(Kabir Bakie)

Dan Loeb Wants To Blow Up Two Companies For The Fourth Of July

The breakup of Nestlé and sale of Campbell’s would make for a spectacular Independence Day celebration.

(YouTube)

Dan Loeb’s October Was Pretty Bad All Around

He’s hoping November will be better, but probably not.

(YouTube)

Dan Loeb Wants Campbell’s To Go Back In Time, Unbuy All That Stock Back

How could it not know in 1988 this would screw everything up in 2018.

By Renee Comet (Photographer) [Public domain or Public domain], via Wikimedia Commons

Dan Loeb Opens Up A Spicy Can Of Litigation

He hopes to dump the steaming allegations right into some elderly laps.

(YouTube)

Give Dan Loeb An Oscar

The man has taken the art of shareholder activism to a scorching new level.

© José Luiz Bernardes Ribeiro / 

Dan Loeb’s Famous Charm Lost On (Most Of) The Campbell Family

No more Mr. Nice Activist, which actually suits Danny just fine.