Starboard Value LP is seeking to take control of agricultural giant Corteva Inc.’s board and replace its chief executive, according to people familiar with the matter.
Starboard, led by CEO Jeff Smith, has privately nominated eight directors to Corteva’s 12-person board, the people said. Starboard is aiming to oust Corteva Chief Executive Jim Collins over what the activist says is mediocre performance. It has an unnamed replacement in mind.
Corteva, which was part of DowDuPont before it was spun out of the industrial conglomerate in 2019, is one of the world’s largest sellers of seeds and pesticides, with a market value of $33 billion.
In October, Starboard disclosed a roughly 1.6% stake in Wilmington, Del.-based Corteva. Mr. Smith said in a presentation at the time that the company’s adjusted earnings before interest, taxes, depreciation and amortization were little-changed from when it was formed in 2019, lagging behind peers.
In response to a question about that criticism on Corteva’s earnings call in November, Mr. Collins said he agrees the business has room to improve its margins. “Probably the only question in that whole discussion is our view of the timing of that improvement,” he said.
