TreeHouse Foods faces pressure from activist investor to explore sale
The Oak Brook private-label food maker has also become a target for short sellers, and may be a potential candidate for a short squeeze in the wake of a Reddit-fueled frenzy around GameStop and other companies.
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(Bloomberg) Activist investor Jana Partners has called on Oak Brook-based TreeHouse Foods Inc. to launch a strategic review, including exploring a potential sale, according to people familiar with the matter. TreeHouse rose as much as 23% on the news.
Jana believes the stock is undervalued and that there might be interested suitors following buyout firms’ interest in private label brands businesses in recent years, the people said, asking not to be identified because the matter is private. Talks between the parties are constructive and ongoing, the people said.