Investment firm Kimmeridge plans to nominate former Pioneer Natural Resources CEO Scott Sheffield to Coterra Energy’s board, the Wall Street Journal reported on Thursday, citing people familiar with the matter.
Kimmeridge has said Coterra’s board must reassess its leadership structure and appoint an independent, non-executive chair, the report said, adding that it expects to nominate four more people to the board.
In November, activist investor Kimmeridge called for an overhaul of leadership and strategy at Coterra Energy, saying the 2021 merger of Cabot Oil & Gas and Cimarex Energy to form the company had failed to deliver value and left it trading at a discount to its peers.
The investment firm has been pressing Coterra to sell its Marcellus and Anadarko Basin assets and focus solely on the Permian, arguing that a more streamlined business would simplify operations and boost the company’s valuation.
Coterra Energy and Kimmeridge did not immediately respond to Reuters requests for comment.
(Reporting by Pranav Mathur in Bengaluru; Editing by Devika Syamnath)