PARIS (Reuters) - Activist fund Elliott Management sent a letter to the board of Pernod Ricard (PERP.PA) asking for cost cuts of some 500 million euros ($567.40 million) to help boost its operating performance, a source close to the matter told Reuters.
Elliott also suggested alternative scenarios such as a merger with a large rival, added the same source.
Elliott said earlier in the day that it has taken a stake of over 2.5 percent in the company and met its chief executive to discuss ways to improve its performance.
($1 = 0.8812 euros)
Reporting by Dominique Vidalon and Pascale Denis; Editing by Sudip Kar-Gupta/Richard Lough