UK telecoms company Vodafone has been targeted by the activist investor Cevian, putting management under pressure to revamp its struggling performance, British media reported on Sunday.
The Sweden-based investment firm has built up holdings in the communications giant in recent months, which has seen its share price almost halved in value since 2018. It also holds stakes in insurer Aviva and educational publisher Pearson.
The move comes as rival BT faces pressure from Franco-Israeli tycoon Patrick Drahi who has taken an 18% stake in the group.
Vodafone chief executive Nick Read will now be under further scrutiny. He was forced to take a cut in perks soon after taking over at the company in 2018 to stop an investors’ revolt in 2019.
They were angry after Vodafone said it wasn’t paying a dividend as it racked up massive losses buying 5G spectrum in European auctions.
