Procter & Gamble shareholders have voted to “elect all 11 of P&G’s highly qualified directors” to its board, the company announced. Translation: Company leadership kicked Nelson Peltz’s butt.
Just a day after Peltz’s Trian Fund Management was able to get another American blue-chip, General Electric, to concede him a seat on its board, Procter & Gamble apparently vanquished the efforts of the activist investor and his company to get a seat on P&G’s board.
Peltz disputed the results after the meeting, saying he’d wait to have the tally certified before he would concede defeat.
“We will continue to respectfully engage with Nelson Peltz, whose input we value,” P&G CEO David Taylor (at top) said to cheers and a standing ovation at the meeting, according to the Wall Street Journal.
Peltz had criticized Taylor and his team throughout the most expensive corporate proxy fight in history as outdated in their approach to brands and out of touch with the most important consumer cohort, millennials. Among other things, he criticized P&G for trying to squeeze too much out of its existing powerhouse brands such as Tide and Crest and for not acquiring and creating new little brands.
But Taylor and team stuck to their guns in a highly personalized, heavily fought contest in which P&G essentially asked shareholders to re-elect the board that was backing an overhaul plan they believed was beginning to get results in terms of sales, profits, market share, cost reductions, and innovation.
“P&G’s board and management team thank P&G shareholders for their support, input and participation throughout the proxy contest,” the company stated. “We are encouraged that shareholders recognize that P&G is a profoundly different, much stronger, more profitable Company than just a few years ago. The changes the Company has made are broad-based and delivering results.
“We look forward to continuing our transformation journey. We are committed to meeting the needs of consumers with our brands and products, and to creating value for P&G shareholders.”