Starbucks’ Ex-CEO Schultz Opposes Potential Settlement With Elliott

Former Starbucks CEO Howard Schultz is opposing a potential settlement between the company and activist investor Elliott Investment Management. Schultz, who holds a $2.03 billion stake in the company, has made his opposition to an Elliott settlement known to some board members. Elliott has built a sizable position in Starbucks and has been discussing ways to improve the coffee chain’s stock performance. Starbucks declined to comment on the report, and Schultz and Elliott did not immediately respond to Reuters’ requests for comment. Schultz stepped down from the company’s board last year after helping it transform into a global coffeehouse chain. He played a crucial role in taking Starbucks from a small company selling only whole beans to a global coffeehouse chain with more than 36,000 stores in 86 markets. Elliott, which has won board seats at Etsy, Phillips 66, and Match, is currently pushing for changes at Southwest Airlines. The hedge fund, managing $65.5 billion in assets as of December, has also launched campaigns at Texas Instruments and Johnson Controls earlier this year.

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