PepsiCo Is Close to a Settlement With Elliott, WSJ Reports

PepsiCo Inc. is nearing a settlement agreement with activist investor Elliott Investment Management, the Wall Street Journal reported Thursday, without providing details.

An agreement could be announced soon, according to the Journal.

PepsiCo has worked to overhaul its portfolio of brands since Elliott announced a roughly $4 billion stake in early September and called on the company to review and streamline its snack offerings. Elliott has urged PepsiCo to look into re-franchising the beverage unit’s “operationally intensive” bottling network, as Coca-Cola Co. has done, so it can focus on its core strengths.

PepsiCo Chief Executive Officer Ramon Laguarta said in October that the company had met a couple of times with Elliott and had constructive discussions, but that there were still “a few areas where we need to probably educate each other a bit more.”

PepsiCo and Elliott declined to comment.