Elliott reveals sizable stake in Crown Castle: here’s what it is pushing for

November 27, 2023 07:39 AM PST | By Invezz

Elliott reveals sizable stake in Crown Castle: here’s what it is pushing for — Image source: Invezz

Elliott is pushing for leadership change

The activist investor cited years of underperformance in a letter to the board on Monday that announced its plans of pushing for a “comprehensive leadership change” at Crown Castle.

Crown Castle suffers from a profound lack of oversight by the Board … [its] strategy, led by CEO Jay Brown since 2016, has been a failure.

Last month, the New York listed firm announced its financial results for the third quarter that came in slightly shy of Street estimates.

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— Crown Castle (@CrownCastle) November 20, 2023

Shares of Crown Castle Inc have been cut nearly in half since the start of 2022.

Elliott may take its case directly to shareholders

Elliott is now interested in nominating new directors to the company’s board as the current ones have “contributed to irresponsible stewardship and flawed financial policy”.

The activist investor also wants Crown Castle to launch a strategic review of its fiber unit and evaluate if it’s fit to own that business in the first place.

The hedge fund confirmed in its letter today that it would prefer constructive engagement with the Houston-headquartered firm but is also open to taking its case “directly to shareholders” if need be.

Watch here: https://www.youtube.com/embed/Q6E1LGNuKO8?feature=oembed

Elliott Investment Management had first announced a stake worth $1.0 billion in Crown Castle Inc in July 2020. Wall Street currently has a consensus “hold” rating on CCI.

The post Elliott reveals sizable stake in Crown Castle: here’s what it is pushing for appeared first on Invezz

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