(Reuters) – Elliott Investment Management L.P. on Thursday sent a letter to Goodyear Rubber & Tire Co recommending five directors for appointment to its board, sending the tire maker’s shares up 16.2% in premarket trade.
The investment firm, which owns about 10% of Goodyear, asked for “enhanced leadership and oversight”, monetization of retail stores and an operational review at the company.
Goodyear did not immediately respond to a Reuters request for comment.
Elliott in its letter laid out key areas of underperformance such as low operating margins, an underutilized retail platform and loss of investor confidence, along with suggestions to boost Goodyear’s share value.
