Wall Street Journal Report: Activist Shareholder Pushes Sale of Berry Global



The Wall Street Journal reported Nov. 28 that Ancora Holdings Inc., an activist shareholder, wants Berry Global Group Inc. to sell.

In response, Berry Global said in a news release on Nov. 30 that the board of directors and management team are “committed to acting in the best interest of the company and its shareholders.”

“The Berry board and management team remain committed to constructive engagement with all shareholders and are always open-minded to ideas that may enhance shareholder value,” the company said.

Ancora owns about 1% of Berry Global stock, and it had sent a letter to the board urging a strategic sale, according to the WSJ report.

In acknowledging that the board had received the letter, Berry said in its statement that it has been performing well, despite recent challenges.

“We have continued to focus on driving consistent and sustainable long-term growth through strategic portfolio management and a flexible capital allocation strategy, while also working diligently to offset the challenges created by COVID, inflation, labor and supply chains,” the company said. “We have successfully achieved our targets over the past several years and expect to drive our third consecutive year of positive organic growth in fiscal 2022.”

Berry’s stock has been rising since the announcement, hovering at about $69 per share in early December. Ancora said in its letter to the board that it thinks the company could be bought for about $100 per share, the WSJ reported.