Long Term Returns of Scott Ferguson’s 5 Activist Targets

3. International Flavors & Fragrances Inc. (NYSE:IFF)

Activist Investment: 2021
Long Term Returns Since Ferguson’s Investment: -44%
S&P 500 Gain Since Ferguson’s Investment: 20.85%

Together with its subsidiaries, International International Flavors & Fragrances Inc. (NYSE:IFF) manufactures and sells cosmetic active and natural health ingredients. The company operates through four segments: Nourish, Scent, Health & Biosciences, and Pharma Solutions. In early 2021, activist investor Sachem Head Capital Management confirmed a $1 billion stake in the ingredients and chemical company.

The investment came on the heels of the company completing a $26.2 billion merger with DuPont’s nutrition unit. Ferguson pushed the company to improve its financial performance and integrate the new unit smoothly.

To starve broader activist push, International Flavors & Fragrances Inc. (NYSE:IFF) offered Sachem Head Capital a seat on the board.

Following the agreement, the activist investor agreed to temporarily not take an activist role in influencing shareholders. The hedge fund also agreed not to acquire more than 4.99% of the company’s outstanding shares.

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