The Hess Corporation‘s big proposals to shake itself up haven’t much impressed the other activist investor eager to see bigger changes at the oil company.
Relational Investors wrote in a letter to Hess’ board on Tuesday that, like Elliott Management, it has found the company’s response lacking.
David H. Batchelder, a Relational executive, wrote that while he was pleased that the oil driller was beginning to replace directors â€" it has named six new candidates â€" more change is needed. If shareholders were asked to choose between the new Hess nominees and the five that Elliott has nominated, Mr. Batchelder added, he believed that the activist investor’s slate would prevail.
“Given the inconsistencies in many of your recentcommunications, we expect that the shareholders would welcome Elliott’s nominees to the board to ensure proper and timely execution and to avoid the risk of backsliding,†Mr. Batchelder wrote.
He also took issue with what he implied was Hess’ mischaracterizing of the company’s interactions with him. While John B. Hess, the energy producer’s chairman, has said that he last heard from Relational in December, Mr. Batchelder mentioned meetings in December and in January, as well as a Jan. 30 letter urging a resolution with Elliott.
Relational Letter to Hess Over Response to Elliott by
