Activist investor Ryan Cohen has asked Nordstrom to make changes to its board after acquiring a sizable stake in the company.
Cohen, who is now one of the top-five non-family shareholders in Nordstrom, wants a targeted board refresh that can support cost-cutting efforts in light of declining sales. More specifically, he wants to replace one of the company’s board of directors, possibly Bed Bath & Beyond’s former chief executive, Mark Tritton, who is currently the chairman of Nordstrom.
Tritton, a former Target executive, was pushed out of Bed Bath & Beyond last year after Cohen’s venture capital firm pressured the retailer. He has been on Nordstrom’s board for three years and previously worked for the company between 2009 and 2016.
“While Mr. Cohen hasn’t sought any discussions with us in several years, we are open to hearing his views, as we do with all Nordstrom shareholders,” Nordstrom said in a statement. “We will continue to take actions that we believe are in the best interests of the company and our shareholders.”
Cohen’s interest in shaking things up at Nordstrom comes at a time when the retailer is struggling with a glut of excess inventory and has cut its guidance for the year after a slow holiday season.
Nordstrom’s stock was up 30% in premarket trading after the news broke.
