Daniel Loeb, an activist investor who has advocated for major changes at companies such as Sony Corp. after investing in them, has taken a stake in parcel carrier FedEx Corp. through his Third Point hedge fund, Bloomberg News reported.
Speaking at a Nov. 12 conference in New York, Loeb disclosed his stake and said FedEx could make some changes that improve the company’s finances, but he said he would not push for the ouster of CEO Fred Smith, Bloomberg reported. FedEx is already overhauling some operations to improve earnings, such as offering employee buyouts and retiring old airplanes.
FedEx confirmed to Bloomberg that Loeb met with company executives. Neither FedEx nor Loeb disclosed the size of the investor’s stake.
Loeb “may help with a management transition when Fred’s ready, to help identify key candidates,” Kevin Sterling, an analyst with BB&T Capital Markets, told Bloomberg.
Activist investors generally invest in companies to make changes that benefit investors.
FedEx ranks No. 2 on the Transport Topics Top 100 list of the largest U.S. and Canadian for-hire carriers.
