Trian Fund Management cut stakes in P&G and other big holdings in second quarter: filing

By Svea Herbst-Bayliss

BOSTON (Reuters) – Trian Fund Management said on Friday that it sold stakes in three of its biggest holdings, including Procter & Gamble Company , in the second quarter for portfolio management reasons and to free up cash to make new investments.

The firm held 10.8 million shares in P&G at the end of the second quarter, down 65% from the 31 million shares it owned at the end of the first quarter, according to a regulatory filing.

Trian made the sales in April and May and made them public at the time, assuring investors that it still supports the company’s management and will continue to sit on its board.

“The reduction by Trian of its holdings in P&G was primarily the result of sales of shares held by a fund managed by Trian that has a multi-year lockup period that expires this year,” the firm said, adding that it “continues to be a large shareholder of P&G.”

P&G’s stock price has climbed 19% in the last three months and is up 8.71% since January.

Trian also cut its holdings in Bank of New York Mellon Corp , where it has owned shares for six years, by 54% to 4.4 million shares and reduced its investment in General Electric Co. by 7% to 59.3 million shares.

The filing did not show any new investments for the New York-based firm which is known for proposing operational fixes at its portfolio companies, often through white papers. The activist firm presents itself as a partner that can offer constructive advice rather than the corporate raider intent on breaking companies apart.

(Reporting by Svea Herbst-Bayliss; Editing by David Gregorio)