Healthy Value Opportunity: Danone
Just four months ago activist investor Nelson Peltz took a 1% stake in and laid out his investment thesis for the Paris-based food giant Groupe Danone (NASDAQOTH: DANOY). Peltz most recently made headlines when Warren Buffett’s Berkshire Hathaway announced the $23 billion dollar acquisition for HJ Heinz. This is a deal that was made possible due in part to Peltz’s advocating for change at Heinz going back in 2006. Shares of Heinz are up about 125% (including dividends) since that time. Peltz’s track record is not limited to Heinz; playing a role in the turnaround of many other large-cap food companies. This is a man who knows his food. With the Heinz acquisition now behind the M&A world, it might be prudent to take a look at Peltz’s latest food project.