The busiest of the activists are staying true to their colors. 

With Southwest’s annual meeting nearly a year out, Elliott stepped up pressure on the airliner by revealing a 7% stake and saying it wants to give shareholders a chance to vote for new board members, hinting at its willingness to call for a special meeting. Southwest adopted a poison pill that triggers once an activist accumulates a 12.5% stake, but only 10% is needed to call a special meeting.  

Separately, Elliott has made clear to its clients that it’s not subscribing to the AI hype, claiming NVIDIA is in an AI bubble that will burst upon first sign of weakness. In that letter, Elliott said that NVIDIA earnings, which will be reported later this month, could “break the spell” if those results disappoint.

Starboard Value, recently rebuffed by Delaware in its attempt to delay Autodesk’s annual meeting and reopen the director nomination window, is continuing its campaign with renewed vigor, as reported by CNBC. The activist sent the company’s board a presentation outlining its demands, among them: calling for Autodesk’s Board to “assess” CEO Andrew Anagnost and pushing for cost-cutting measures. Autodesk hasn’t publicly responded.

Speaking of drama in Delaware, read this story from the Financial Times, which recaps the months of infighting, controversial decisions, and Musk mudslinging at the Delaware Court of Chancery. 

Have a great weekend, NY events below

GPP team 

The Deal: Macy's M&A Talk Conclusion Could Activate an Activist

Jean Haggerty speculates that other shareholder activists are likely to target Macy's after the retailer recently ended its long-running talks with Arkhouse Management and Brigade Capital Management over a potential buyout. Read More

Harvard Law School Forum on Corporate Governance: Shareholder Proposal Developments During the 2024 Proxy Season

Shareholder proposals increased for the fourth year in a row and reached the highest level since 2015, with governance leading the pack. While over 55% of all proposals were voted on, average support sat at a decade low of 23%. Read More

M&A

Reuters: Snickers Maker Mars Explores Acquisition of Kellanova, Sources Say

Anirban Sen reports that Mars is in discussion to acquire Kellanova which would be among the biggest ever in the packaged food sector given the company's market value of approximately $27 billion. The snacking giant was spun off from Kellogg last year. Read More

ANTITRUST

Washington Post Opinion: The Google Decision is the Right Ruling – at The Wrong Time

Adam Lashinsky suggests that the DOJ’s cases against Big Tech companies, such as the recent Google decision, are too late to have any significant impact as they fail to offer any regulation on Big Tech’s race to invest and incorporate AI to their platforms. Read More

The New York Times: X, Owned by Elon Musk, Brings Antitrust Suit Accusing Advertisers of a Boycott

X, formerly known as Twitter, accused a coalition of major advertisers of allegedly convincing major companies including CVS, Unilever and Mars to boycott the social media platform. Read More

FROM OUR DESK TO YOURS

GPP welcomed The Wall Street Journal’s Dana Mattioli for a discussion about her new book, “The Everything War,” a page-turner that chronicles the behind-the-scenes of Amazon's rise from small Seattle startup to the global behemoth it is today. We discussed the company’s approach to business and Dana’s unparalleled perspective as a former Amazon beat reporter.

If Yuu want to enjoy an exquisite meal at a newish cool restaurant, go to Restaurant Yuu in Brooklyn, owned by Chef Yuu Shimano. Chef Yuu worked in some of France’s greatest restaurants before opening his tasting menu spot in Greenpoint. His signature dish is the “duck pie,” seen below, which is 45-day dry aged duck breast, accompanied by foie gras, minced duck leg, mushroom, spinach, wrapped in pastry puff. Oh yes, shavings of black truffle for those who want to be decadent. We paired the duck with a 2021 Comte Armand Clos des Epeneaux from Pommard.  

PEOPLE MOVES

• Wells Fargo added healthcare dealmaker Kevin Healey in the company’s San Francisco office after nearly a decade at PJT. Read More

• September 9-11: Council of Institutional Investors 2024 Fall Conference, Brooklyn 

• Local NYC Events:
• August 2: Schomburg Center Opening Reception & Program: JIMMY! God's Black Revolutionary Mouth
• July 19 – September 6: Festival of Free Shakespeare in the Park
• July 22 – August 18: NYC Restaurant Week
• June 28 - August 10: Paramount+ Movie Nights in Bryant Park
• June 28 - August 17: Celebrate Brooklyn Concert Series in Prospect Park
• September 8: Wine on Wheels Annual Grand Tasting