E.l.f. Must Make ‘Difficult Decisions’ To Recoup Shareholder Value, Activist Investor Says

A “sober” assessment of e.l.f.’s strategy and governance is “clearly warranted and long overdue,” says Marathon Partners founder and Managing Partner Mario Cibelli in a letter to the company’s board. E.l.f.’s share price has been on a steady decline as sales growth has slowed, with a roughly flat performance reported by the firm in November for the first three quarters of fiscal 2018.

Stock Market Down - Illustration

Marathon Partners Equity Management, LLC, which owns approximately 8.6% of e.l.f. Beauty, Inc.’s common stock, continues to push for aggressive changes at the company, including in the areas of operating strategy, governance and executive compensation, to shrink costs and return value to shareholders.

E.l.f.’s share price has been on a sinking trajectory over the last couple of years since its smash initial public...

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