Kenvue (NYSE:KVUE) shares pointed downward Wednesday after it settled its proxy fight with activist Starboard Value, adding three new directors to its board.
Starboard’s Jeff Smith will join the board of the Johnson & Johnson spinoff, along with Sarah Hofstetter, president of Profitero, an eCommerce performance analytics platform, and Erica Mann, former head of pharmaceutical company Bayer’s consumer health division.
“Sarah’s brand building and digital marketing expertise, Erica’s global consumer health industry experience, and Jeff’s investor perspective and extensive service on corporate boards will further strengthen the Board with complementary, value-additive skillsets,” said Larry Merlo, Chair of Kenvue’s Board, in a statement Wednesday.
Media reports said Starboard had amassed a significant stake in the company and expressed disappointment in its management and share-price performance.
Kenvue is the maker of iconic brands familiar to both investors and the broader public, such as Aveeno, Band-Aid, Listerine, Neutrogena, Tylenol and J&J’s namesake baby powder and shampoo.
J&J completed its separation from Kenvue in August 2023, but the pharmaceutical company still holds a stake in the consumer goods giant. It marked the biggest shake-up in J&J’s nearly 140-year history.
KVUE shares fell back 56 cents, or 2.4%, to begin Wednesday at $22.86.
