Fortune Brands’ new CEO never officially worked a day—but he’ll get $18.4 million after a massive leadership shakeup

Core Insights - Amit Banati left a CFO position at a Fortune 500 company to become CEO of Fortune Brands Innovations but never officially worked in the role, receiving $18.4 million in cash as compensation for his departure from his previous job [1] - Fortune Brands, a manufacturer of Moen faucets, Yale locks, and Therma-Tru doors, generated $4.5 billion in product sales last year [2] Investor Activity - Activist investor Ed Garden from Garden Investment Management reached a cooperation agreement with Fortune Brands to join the board, prompting a leadership overhaul [2] - Swiss asset manager Pictet Asset Management disclosed a 7.6 million-share stake in Fortune Brands valued at $493 million, engaging with the company on long-term strategy and governance [3] - Together, Garden and Pictet hold nearly 10% of Fortune Brands, but they are not collaborating due to restrictions in Garden's agreement [4] Share Price Impact - Following the news of the leadership changes and investor activities, Fortune Brands' share price fell by 2.6% and is down 16% year-to-date [4] Timeline of Events - Banati's appointment as CEO was announced on February 12, with a start date in mid-May, but the day after, it was revealed that Garden had built a stake and nominated new board members [5] - Garden's stake was approximately 3.5 million shares, or about 3%, by the time the cooperation agreement was finalized [6]