BP Promises Big Changes After Attracting An Uninvited Guest

British major integrated company BP announced plans on Monday for what it calls a “new beginning” in its continuing efforts to regain its footing and become more competitive with peer companies like Shell, Chevron, and ExxonMobil.

“We now plan to fundamentally reset our strategy and drive further improvements in performance, all in service of growing cash flow and returns,” CEO Murray Auchincloss told the Wall Street Journal a day after news broke that activist investor Elliot Investment Management had purchased a major position in the company’s stock.

BP’s Aggressive Uninvited Guest

Elliott, led by founder Paul Singer, has a well-established reputation for working to force management teams at major companies to implement radical changes designed to increase returns to investors. One such strategy includes forcing the breaking up of corporate conglomerates - Honeywell is a recent example - to divest some parts of the business to make the surviving parts more efficient and focused.