Investment idea generation.


Our thoughts.

WTF Activism: Featuring Franklin Resources and Axiall

Franklin Resources is not an activist investor. Though they have a 6% active stake in the industrial chemicals company, Axiall Corporation. Can a non-activist still create value and be a catalyst? Maybe a fresh, non-activist driven, perspective is needed. 

Franklin makes the case at Axiall that the potential sale of the company’s Aromatics business doesn’t go far enough. More is needed. 

Note that Axiall is currently reviewing a spinoff of its Chlor-Alkali business into an MLP. 

Axiall could use some work, having underperformed peers since early 2013 - Axiall is down over 25% over the time, major competitors Dow Chemical and Westlake are up over 50%.

Get a two-week free trial to Activist Strategy and read the rest...