Olin Appoints Sachem Nominees to Board
Olin has reached agreement with activist shareholder Sachem Head Capital Management and added two of the investor’s nominees to its board with immediate effect. The additional directors are Scott Ferguson and William Barnes Hauptfuhrer, managing partner and analyst at Sachem Head respectively.
Sachem Head revealed last month that it owns a 9.4% stake in Olin and intended to nominate four directors at the US chemical company’s annual meeting of shareholders.
"As we continue to take actions to enhance our capital structure, accelerate our cost discipline and efficiency efforts and drive long-term value for all shareholders, we are confident that their expertise will be additive to the board's ongoing efforts," said Olin chairman and CEO John Fischer.
Olin’s board is now made up of 14 directors, 13 of whom are independent and six of whom will stand for re-election at the upcoming annual meeting.
In parallel with the appointments, Olin has also agreed with Sachem Head to create an operating improvement committee. Both Ferguson and Hauptfuhrer will sit on this committee, which will analyze and make recommendations to the board with regard to operational improvements and support and inform the board’s review of Olin’s strategy.
In addition, Olin also agreed to propose an amendment to its bylaws to declassify the board and provide for the annual election of all directors starting at the 2021 annual meeting. For its part, Sachem Head agreed to customary voting and standstill provisions.
