Starboard Value Acquires $1 Billion Stake in Pfizer

The activist hedge fund aims to revitalize Pfizer's performance amid declining revenues and stock value.

Starboard Value, led by Jeff Smith, has taken a $1 billion position in Pfizer, seeking to improve the company's financial performance.
Pfizer's stock rose over 4% following the announcement, reflecting investor optimism about potential changes.
The pharmaceutical giant has faced challenges, including a stagnant stock price and upcoming patent expirations for key products.
CEO Albert Bourla has pursued aggressive M&A strategies, including a $43 billion acquisition of Seagen, but has struggled to convince investors of Pfizer's growth potential.
Starboard has a track record of successful activist campaigns, often pushing for cost reductions and improved margins at targeted companies.