Elliott Management has scrapped plans to nominate directors to the board of Salesforce after the software group delivered a better than expected earnings report in March and promised to focus on profits. In a joint statement released on Monday, Elliott said it would not nominate rival directors to the Salesforce board at its upcoming annual meeting since it had put a “clear focus on value creation”. Jesse Cohn, managing partner of Elliott, said he was “deeply impressed” by Salesforce’s “commitment to profitable growth, responsible capital return and an ambitious shareholder value creation plan”.
Salesforce Inc and Elliott Management on Monday reached an agreement where the activist investor ends its board room challenge as the software company focuses more on boosting profits and efficiency. The announcement made by both sides comes less than a month after Elliott nominated a slate of director candidates and Salesforce reported stronger than expected financial results and made promises for more cost cuts. "Elliott decided not to proceed with director nominations, and Salesforce and Elliott committed to continue the productive working relationship they have developed together," the two said in a joint statement.
SAN FRANCISCO, March 27, 2023--Salesforce and Elliott Issue Joint Statement