PepsiCo Board Rejects Activist Peltz’s Split Proposal in Letter
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PepsiCo Inc.’s board sent a letter to activist investor Nelson Peltz firmly rejecting his demand to split the company’s snacks and beverages units, supporting a stance taken by Chief Executive Officer Indra Nooyi.
The board has analyzed Peltz’s proposal seriously and concluded that its “financial engineering” of a breakup would erode value rather than create it, director Ian M. Cook wrote in the letter yesterday.