Activist investor Jana Partners is pressing Cooper Companies, the medical‑device maker behind CooperVision contact lenses and the CooperSurgical fertility platform, to make significant leadership and strategic changes. Jana, which owns about 3.58 million shares – roughly 1.8% of the company – submitted a detailed proposal on Friday urging the board to launch an external search for a new chief executive officer.
Board and governance reforms
The investor also recommended appointing a new board chair and adding directors with specific expertise to strengthen oversight. Jana argues that stronger governance will help restore investor confidence after Cooper lowered its annual forecasts last week and concluded a review of options for its CooperSurgical unit without completing a sale.
Potential asset sales
In its filing, Jana suggested that Cooper explore selling its contact‑lens business, CooperVision, as well as certain fertility and medical‑device assets within the CooperSurgical division. The activist also called for the company to engage potential buyers for these units and to hire an outside adviser to identify manufacturing and supply‑chain cost‑saving opportunities at CooperVision.
Compensation and inventory concerns
Jana urged Cooper to link executive compensation more closely to performance, arguing that tighter pay‑for‑performance alignment would improve accountability. The investor also criticized how Cooper has handled excess inventory held by CooperVision customers, suggesting that better inventory management could bolster the company’s financial position.
Stock performance context
According to data compiled by LSEG, Cooper’s shares have fallen about 21% over the past twelve months, underperforming peers such as Becton Dickinson, which gained roughly 19%, and Integer Holdings, which rose about 61%. By contrast, Alcon’s stock declined about 17% in the same period. Jana noted that Cooper’s shares trade at a discount to comparable companies, reinforcing its call for strategic actions to unlock value.
Company response
Cooper Companies did not immediately respond to a Reuters request for comment on Jana’s proposals.
Jana’s push reflects a broader trend of activist investors seeking governance reforms and strategic divestitures at companies they believe are undervalued or underperforming. Whether Cooper’s board will act on these recommendations remains to be seen, but the activist’s suggestions underscore the pressure on the medical‑device sector to deliver stronger financial results and clearer strategic direction.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
