September 24, 2023

Activist investor Elliott Management has nominated a list of directors for sales forceboard, sources told CNBC’s David Faber on Wednesday.

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The nomination window closes on March 14, and it’s unclear whether it’s two or three nominees, Faber said on “Squawk on the Street.” According to people familiar with the situation, the slate will likely include Jesse Cohn, who runs an activist practice in Elliott, but Faber said his position has not been confirmed.

Salesforce did not immediately respond to requests for comment.

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Activists are circling the cloud-based business software company. Elliott Management unveiled its multibillion-dollar investment in Salesforce in January, and the company said Mason Morphitt, CEO of ValueAct Capital, would join its board this month. Dan Loeb’s hedge fund, Third Point, has also taken a position in the company, CNBC confirmed in February.

Salesforce, which joined the Dow Jones Industrial Average in 2020, has faced high-profile departures and slowing revenue growth of late and has faced criticism for buying companies like Slack and Tableau at high multiples. In November, Salesforce gave weaker-than-expected quarterly revenue guidance.

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On January 4, Salesforce announced plans to cut 10% of its personnel and said it would reduce some office space as part of a restructuring plan. The company also let go of fewer than 1,000 employees in November.

Shares of Salesforce have underperformed in 2022, falling nearly 48%, while the S&P 500 is down 19%. The stock is up about 24% so far this year.

The company will present its fourth quarter results after the market closes on Wednesday.

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– CNBC’s Jordan Novett