PBI - Pitney Bowes activist proposes new board eyes CEO replacement

Pitney Bowes Inc. ( NYSE: PBI ) shares rose in Monday’s premarket trading as activist investor Hestia Capital Management proposes sweeping changes to company management.

The investor, which holds a 7.2% stake in the Stamford, Connecticut-based company, proposed 7 new candidates for the company’s board to counteract “value destruction” it accuses management of facilitating in recent years. Additionally, the activist is calling for the replacement of CEO Marc Lautenbach.

“As a result of their experience and insight, our candidates have already been able to identify steps for turning around the Company and quickly repairing its severely damaged credit rating,” Hestia CIO Kurt Wolf commented. “We look forward to announcing an interim Chief Executive Officer candidate, issuing a 100-day transition plan and sharing a detailed value creation strategy prior to the upcoming Annual Meeting.”

He added that he believes shareholders have suffered “a decade of dismal returns, driven by misguided strategy, failed execution and missed opportunities” under the direction of current management. As such, he is advocating for swift changes in management in 2023.

Shares of Pitney Bowes ( PBI ) rose 1.4% in premarket trading on Monday.

Read more on Hestia’s ongoing campaign for changes at the company .

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