We’re back from the summer break with a research project in hand.
According to a GPP analysis, Corporate America is changing – in a big way – how it talks about diversity, equity and inclusion in annual securities filings. In the year after George Floyd’s May 2020 killing, the number of S&P 500 companies discussing DE&I in their 10-K increased from 14% to 88%. As institutional investors continue to ramp up the pressure, companies are also getting more specific and creative with their DE&I disclosures, adding in enhanced workforce data, progress scorecards, specific commitments.
Meanwhile, a major bidding war in the railroad industry is a reminder to all companies that behind so many M&A battles, an activist hedge fund is lurking. And in TCI Fund Management’s case, a glaring conflict of interest to boot, Breakingviews argues. The opinion column posits that Chris Hohn, of TCI fame, is a” conflicted spokesman” in the battle because he holds shares in both companies battling to purchase Kansas City Southern. Despite the concern of playing both sides, Breakingviews says TCI’s effort to remove Canadian National’s CEO and half its board is justified, in part from the regulatory blow Canadian National’s bid suffered this week.
Welcome back to the Newsletter, and have a great weekend,
Chris and Mike