$MCADE presale is now live!

Coca-Cola shareholder doesn’t want Activision CEO on the board

By:
on Dec 9, 2021
Listen to this article
  • SOC Investment Group doesn't want Bobby Kotick to be renominated as a board member at Coca-Cola.
  • Dieter Waizenegger warns the investment group will take serious measures if he's renominated.
  • Kotick is accused of keeping allegations of sexual misconduct at Activision Blizzard a secret for years.

The Wall Street Journal said last month CEO Bobby Kotick was involved in keeping allegations of sexual misconduct at Activision Blizzard a secret for years, and the report is coming back to threaten his role at Coca-Cola Co (NYSE: KO).

Shareholder demands Kotick’s removal from the board

In a letter to Elena Lagomasino, who chairs the Directors and Governance Committee at Coca-Cola, SOC Investment Group on Thursday blatantly demanded for Kotick to be removed from the beverage giant’s board of directors.

Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.

Mr Kotick’s tolerance of sexist, harassing, and discriminatory behaviour, as well as the duplicitous and misleading statements he has made, strongly indicate that he does not possess the bare minimum ethical qualifications to serve as a director.

SOC Investment Group uses active ownership to hold leadership accountable for corporate practices to create long-term value for pension funds that have substantial stakes in Coca-Cola and Activision Blizzard.

SOC will take serious measures if Kotick is renominated

According to Dieter Waizenegger – executive director at SOC – the investment group will call on other shareholders to outcast not only Kotick but also Lagomasino if the Activision CEO is allowed to participate in re-election next year.

To be as clear as possible, should you and the board nominate Mr Kotick for election at next year’s annual meeting, we will feel compelled to oppose not only his re-election but that of yourself and other directors.

Kotick has been with Coca-Cola as a board member since 2012. SOC has already demanded his resignation as the CEO of Activision Blizzard as of mid-November.

The gaming company has tanked 35% in the stock market since July when reports of sexual misconduct first emerged in media.