Ackman Protégé Calls For Helen Of Troy Shakeup

Feb 5 2014 | 9:37am ET

Helen of Troy is once more under siege.

Activist hedge fund Sachem Head Capital Management has launched a campaign, not against the mythical Greek beauty but against her namesake, a consumer products company whose lineup includes OXO International, Revlon and Dr. Scholl's.

New York-based Sachem Head yesterday blasted Helen of Troy for its poor corporate governance and failure to return capital to investors, demanding that it consider selling some of its assets—or itself. The hedge fund, which owns a 3.7% stake in the company, said its decision to intervene came in part after Helen of Troy replaced CEO Gerald Rubin with an internal candidate, Julien Mininberg.

"While the market reacted positively to Mr. Rubin's departure, we believe that with the benefit of full context, shareholders should share our entirely different view," Scott Ferguson, Sachem Head's founder, wrote. "We believe the circumstances surrounding his hasty resignation are, ironically, yet another example of inadequate board stewardship."

Ferguson spent nine years at Pershing Square Capital Management, leaving that firm in 2012 to set up Sachem Head. He's raised $1 billion at the new firm since its debut last year.


In Depth

Humble in Hofstra...One Debate an Election Can Make

Sep 26 2016 | 10:20am ET

Tonight's U.S. Presidential debate, infamously coined the “Humbling in Hofstra...

Lifestyle

Vortic: Reimagining the Custom Wristwatch

Sep 27 2016 | 7:24pm ET

American watch manufacturer Vortic, which started out restoring antique pocket watch...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...