What impact experts believe Peltz will have as P&G board member
CINCINNATI (WKRC) - Trian Fund Management announced in a press release Wednesday that an official preliminary voting count showed hedge fund billionaire Nelson Peltz has won a seat on P&G's board.
Peltz would be one person on a board with 11 seats, and he could have a major impact in that position.
Two experts had similar thoughts that Peltz's win could be good for Cincinnati because P&G stands to benefit from new ideas, and Peltz does represent $1 billion in stock, so don't under estimate his influence.
James Russell from Bahl & Gaynor Investment Counsel says Peltz's intentions are well-known and so is the resistance from the existing board members. He says something needs to be done at P&G to increase growth, whether that comes from ideas from CEO David Taylor or Peltz.
Russell also feels any job loss would be a year or two down the road and more likely outside Cincinnati.
Chris Johnson is the CEO at Johnson Research Group. He said he also feels P&G's corp competency is here in Cincinnati, so he is not worried about a breakup or headquarter move.
Johnson does believe Peltz will have an impact and influence on other board members. He says it's like a pebble in a pond--it has a ripple affect.
He also says he's not surprised this is happening and says the job of a CEO and the board is to provide vision--the kind he feels we have not seen since David Pepper was CEO.