Activist investor urges Cheesecake Factory to explore a potential split, WSJ reports
21/10/2024 22:37
Oct 21 (Reuters) - Houston-based activist investor JCP
Investment Management is urging Cheesecake Factory CAKE.O to
explore the possibility of creating a separate public company by
spinning off three of its smaller brands, according to a report
by the Wall Street Journal on Monday.
JCP Investment Management, which has built roughly a 2%
stake in Cheesecake Factory, has privately told executives that
North Italia, Flower Child, and Culinary Dropout brands would be
better off as a separate company, WSJ reported, citing people
familiar with the matter.
Cheesecake Factory did not immediately respond to a request
for comment. Its shares were up about 3% in after-hours trading.
(Reporting by Neil J Kanatt in Bengaluru; Editing by Tasim
Zahid)
((Neil.JKanatt@thomsonreuters.com;))