Week in Review - September 27, 2023
Succession Snafus
Welcome to this week’s news brief. The past two years have seen several CEOs leave their role shortly after being elevated to the top job, on the back of past indiscretions coming to light. The trend has left some observers with the notion that boards are skimping when it comes to vetting internal CEO candidates.While it could ultimately hurt the company if skeletons emerge from a new chief’s closet, it might also harm the board’s reputation. As one source told Agenda, “[I]nvestors may question whether the selection process was careful enough and what the board may have overlooked.” Read more here.
Activists Coming for CEOs
The tepid environment for dealmaking is leading activists to shift tactics: these days, they’re increasingly agitating to oust the CEO. Last year, 15 CEOs left S&P 500 companies after facing a campaign, and, although the number is lower this year so far, it’s expected to grow as we get closer to director nomination deadlines for spring annual meetings. Read more here.
Further Reading
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