(Reuters) - Three former executives of Jarden Corp, which was bought by U.S. consumer goods company Newell Brands Inc NWL.N in 2016, will team up with activist hedge fund Starboard Value LP to replace Newell’s board and Chief Executive Michael Polk, the Wall Street Journal reported on Thursday.
The three people include Jarden’s former chairman Martin Franklin, former CEO Jim Lillie and another former Jarden executive Ian Ashken, the report said, citing people familiar with the matter.
The activist hedge fund and its associates hold a stake of below 5 percent in Newell, the Journal reported.
The group aims to make Lillie CEO and Franklin chairman of the board at Newell, according to the report.
Franklin resigned from the position of Newell director last month, the WSJ said.
Newell declined to comment on the report, while Starboard did not respond to a request for comment outside regular business hours.
Newell added more than 100 brands to its product line following its $15 billion purchase of Jarden in 2016.
The activists are seeking to make a case that Newell’s leadership took some wrong steps in its integration with Jarden, WSJ reported.
Sharpie pens maker Newell Brands is struggling to boost sales, with some of the biggest U.S. retailers, including Wal-Mart Stores Inc (WMT.N), drastically cutting down on inventories amid falling store traffic.
Reporting by Kanishka Singh in Bengaluru; Editing by Daniel Wallis