Here's Why Air Products Stock Declined in December and Why Its Annual General Meeting Could Be a Thriller

Share Price Decline - Shares of Air Products declined by 13.2% in December, driven by administrative matters rather than end markets or operational issues [1] Activist Hedge Fund Involvement - Mantle Ridge, an activist hedge fund owning 1.8% of Air Products' stock, initiated a conflict with the company's management in December [2] - Mantle Ridge proposed four independent candidates to the Board, including former Praxair CEO Dennis Reilley, and aims to appoint Eduardo Menezes as CEO [3] - The hedge fund filed a proxy statement urging investors to vote for its nominees at the AGM on Jan 23, citing underperformance and management problems [4] Air Products' Response - Air Products' Board criticized Mantle Ridge's track record, citing its history of value destruction and lack of a serious plan [5] - The Board highlighted Mantle Ridge's three successive settlements with companies and subsequent stock underperformance [5] - The Board questioned the qualifications of Mantle Ridge's proposed candidates, noting Menezes' lack of CEO experience and Reilley's absence from operational roles for over 17 years [5] Ongoing Battle - Both parties have issued investor presentations outlining their strategies, setting the stage for a continued battle for shareholder support leading up to the AGM on Jan 23 [6] - The share price decline may reflect market speculation about Mantle Ridge's potential success, with uncertainty expected to persist until the AGM [6]