Unilever own over 400 brands in over 190 countries. We're talkin' Omo, Dove, Ben & Jerry's and Rexona.
Background: Unilever own over 400 brands in over 190 countries. We're talkin' Omo, Dove, Ben & Jerry's and Rexona. On the other hand, GlaxoSmithKline (GSK) make prescription medicines, vaccines and some consumer health products like Panadol, Sensodyne and Ventolin.
What happened: Unilever has chucked in a few proposals to acquire GSK's consumer healthcare business for around $95 billion. That's laaarge!
What else: This deal could have been a match made in heaven...except shares in Unilever tanked around 7% after the news. Some Unilever investors reckon the company has "lost the plot" over its sustainability agenda.
💡The CEO and board of a public company have a responsibility to act in the 'best interests' of their shareholders.
💡For some investors, 'best interest' means short-term profit maximisation. For others, it may mean taking sustainable steps today to help the business in the long run.
💡This all comes at a time when many institutional investors are reshaping their investments towards ethical and sustainable businesses. But some investors, like the Unilever investors, are voting with their feet (aka their dollarydoos).
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