Can 4 active investors play nice in the Salesforce sandbox? • TechCrunch
Salesforce found itself in a rather unusual situation, with four active investors inside the company at the same time: Elliott Management, Starboard Value, ValueAct and Inclusive Capital. Experts say it’s special to have so many active investors involved at the same time at a big tech company like Salesforce.
What do these people want from Salesforce, which has virtually no difficulty? Sure, the stock is falling, but Salesforce raked in $8 billion last quarter.
But that might be exactly why investors care so much – because they believe that whatever they think is wrong can be fixed pretty quickly and everyone can make money. lots of money without too much fuss.
That may or may not be the case. When you have four strong personalities entering the same game, even if their ultimate goal is to be in sync, how do you get them all to work together to entice CEO Marc Benioff and the board of directors to co-op mean to them? And let’s not forget that Benioff has a pretty strong personality.
If investors have different opinions about what’s wrong with Salesforce, that could open up an opportunity for Benioff to negotiate, something aggressive investors typically don’t want to do. Instead, they prefer to dictate the terms and position themselves — often by grabbing board seats — to make sure the company does what they want. Salesforce announced three new board members last week, including ValueAct CEO and chief investment officer Mason Morfit.
But with four companies, who gets the extra board seats? Who negotiated these changes? Do they work together or are they separate? It’s a fun exercise in teamwork. Can these investors share the responsibility without driving each other crazy?