1. Ben and Jerry’s parent company is Unilever but it’s board has operated independently since 2000. Recently, the board voted to cancel its license with Israel stating: “We believe it is inconsistent with our values for Ben & Jerry’s ice cream to be sold in the Occupied Palestinian Territory (OPT).” This is a particularly tricky situation for Unilever as a parent company because: “In the U.S., 33 states have passed laws that restrict government investment or contracting in companies that boycott Israel; if Unilever does not act to reverse the board’s decision, it could face divestment and losses.” Ben and Jerry’s independent board had put Unilever in a touch spot when it comes to fiduciary responsibility to their shareholders.
  2. Governance has always been tricky for Ben and Jerry’s. Before getting acquired by Unilever, Ben and Jerry’s traded at a P/E ratio of 9.8, much lower than competitors such as Dreyer’s Grand which traded at a P/E ratio of 47.2. This was primarily due to poor financial and overall management. There were also concerns that the board was insider led.
  3. Ben and Jerry is a poster child of good E and S but those elements need to come with a G. Strong governance comes first and then a company can double down on the E and S.
  1. Nvidia (NVDA)
  2. Salesforce (CRM)
  3. Microsoft (MSFT)
  4. Cisco (CSCO)
  5. Texas Instruments (TXN)
  6. BestBuy (BBY)
  7. Home Depot (HD)
  8. Teladoc Health (TDOC)
  9. Applied Materials (AMAT)
  10. Lam Research (LRCX)
  1. A new dawn for accountancy
  2. ERM’s Evolving Doors
  3. Governance in the Risk Galaxy
  4. Operational Resiliency and Emerging Risks
  5. One Size does not fit all

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Nossa Capital

Nossa Capital

We are an ESG reporting and data management technology company.