An activist investor wants to use a $1 billion stake in Phillips 66 to demand two seats on the board of directors—and the name is not Carl Icahn.
Instead, it is the effort of Elliott Investment Management, which according to reports, sent a letter to the company’s board , saying it can improve economics for the Houston-based fuel refiner by improving execution and restoring trust with investors. Bloomberg reported that Elliott is not calling for the removal of Phillips 66 Chief Executive Mark Lashier.
“Mr. Lashier and the rest of the management team deserve investor support so long as they demonstrate meaningful progress against these targets,” Elliott said in the statement. “At the same time, we find the market’s skepticism to be understandable, and we believe the Board must take several steps to reassure investors that Phillips 66 is in the best possible position to achieve its value-creation potential.”
Phillips 66 has 13 members on its board of directors and 11 are independents.
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