Reuters — Bunge Ltd. is preparing to replace its CEO Soren Schroder as the global grains trader faces investor pressure, the Wall Street Journal reported on Friday, citing sources.
The company is expected to announce the CEO’s departure in the coming days, the report said, citing people familiar with the matter.
The grains trader was not immediately available for comment.
Bunge plans to initiate a search for a new CEO both from inside and outside the company, according to the WSJ report, citing one of the sources.
Read Also
U.S. grains: Corn sets contract lows on expectations for big US crop
Chicago Board of Trade corn futures set contract lows and soybean futures sagged on Friday on expectations that beneficial weather for U.S. crops will lead to bumper harvests, analysts said.
The company might also replace its chairman L. Patrick Lupo, the report said citing some of the sources.
Bunge has been struggling due to low crop prices and a trade war that has slashed U.S. crop exports to China leading its shares to fall about 11.3 per cent this year, underperforming the broader S+P 500 index.
Earlier this week, the company appointed the CEO of agrichemicals company Syngenta to its board as part of an agreement with activist investors D.E. Shaw and Continental Grain.
D.E. Shaw and Continental had pushed Bunge to add board members in hopes of jolting the company into improved performance.
— Reporting for Reuters by Laharee Chatterjee in Bangalore.
