Phillips 66 Challenges Elliott's Citgo Bids Amid Boardroom Tensions

Published 3 days agoPSX

Phillips 66 Challenges Elliott's Citgo Bids Amid Boardroom Tensions

Phillips 66 has raised concerns over a potential conflict of interest as Elliott Investment Management pursues Citgo, a direct competitor. The tension stems from Elliott's bids through Amber Energy, which significantly exceed its $2.5 billion investment in Phillips 66. This raises questions about Elliott’s intentions, highlighting potential risks for Phillips 66 shareholders.

Elliott, known for its activist investor strategies, is pushing for strategic changes at Phillips 66 by advocating for divestments and board nominations. Phillips 66, however, is resisting these changes, particularly questioning the experience and potential conflicts of interest of Elliott's board nominees. Elliott's actions are part of a broader push to influence corporate governance at Phillips 66.

Phillips 66 is urging shareholders to support its board nominees in an upcoming May election, emphasizing the need to maintain the current strategic direction. The company's management has expressed concerns over the transparency of Elliott's actions, particularly regarding the ongoing Citgo bids. According to Insider Monkey, Phillips 66 stresses the importance of stability for its future amid Elliott's campaign for change.

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