Daniel Loeb's hedge fund Third Point LLC ratcheted up his attacks on the board of Campbell Soup (NYSE:CPB) in a scathing video on Thursday, calling for all of the directors to be dismissed for mismanaging the company.
"We believe that the Campbell's board failed leadership has destroyed over two decades of value for its shareholders while their competitors flourished," the voice in the video which used the familiar Campbell Soup jingle of "Mmm Mmm Good" and then turns to "Mmm Mmm Bad" said.
The video is apparently aimed at retail investors who make up around 10-15% of Campbell's shareholders.
The battle for control of the company is escalating ahead of the November 29 vote by shareholders on Campbell's board.
"Change the board - not a member or two - all of the people," the video said.
"They blew your money on bad deals that didn't work," the video declared.
Third Point pointed to comments made by then Campbell CEO Keith McLoughlin, who said the company lacked a culture of accountability and this, in turn, led to poor execution.
The video said $1 invested in Campbell 20 years ago is worth only $1.19 at this time, compared to $4.06 for the $1 invested in the S&P 500 two decades ago.
Third Point said a new independent slate of managers should be voted in to run the company.
"We know Campbell's can thrive again," the video said, adding they own 8% of the shares and "have major skin in the same."
Campbell has 300.66 million outstanding shares and a float of 156.83 million.
Most of the family which controls 41% of Campbell stock have lined up behind the board.
Campbell had hit back at Third Point in a letter to shareholders a few weeks ago.
The company accused Third Point of "attempting to deprive shareholders of the future value potential of Campbell by forcing a sale of your company while we are executing on our strategic plan to create value."
It added that the board "strongly objects to Third Point's aggressive and short-sighted tactics and urges shareholders to reject the hedge fund's misguided efforts and 'one-point' agenda for Campbell."
Shares of Campbell were trading 2.06% higher at $37.07 on Thursday.
Reporting by Rene Pastor, contactable on [email protected]