Catalent (NYSE:CTLT) rose 8.8% in after hours trading after a report that activist investor Elliott Investment Management has taken a significant stake in the contract drug manufacturer.
Elliott is pushing for changes in the company’s board and has been talking to potential director candidates about joining a slate of nominees for a proxy contest, according to a WSJ report, which cited people familiar with the matter. The exact size of Elliott’s stake wasn’t known.
The report comes as Catalent (CTLT) shares have plunged 55% over the past year as it dealt with issues ranging from the exit of the finance chief, financial warnings, delays in its quarterly earnings report, and issues with its manufacturing facilities.
Catalent (CTLT) has also been the subject of takeover speculation, including from Danaher (DHR), though Bloomberg reported in April that life-sciences company was no longer considering an acquisition of the company.
Catalent (CTLT) short interest is 6.3%.