1. Eminence Capital criticizes GPK's Board for replacing CEO Mike Doss. 2. Robbert Reitbroek, Doss's successor, is deemed inexperienced and problematic. 3. Concerns raised over Board's governance and Chairman Martens's influence. 4. Eminence demands reinstatement of Doss and Martens's resignation. 5. Potential shareholder activism may increase if demands are ignored.
FAQ
Why Bearish?
The leadership change and governance issues create uncertainty, potentially undermining investor confidence.
How important is it?
The large stake held by Eminence and their vocal opposition highlight significant shareholder concerns.
Why Short Term?
Immediate governance concerns could affect stock performance before the company stabilizes.
Eminence Capital Calls for Reinstate of Mike Doss as CEO of GPK
Eminence Capital, LP, a private investment firm with a significant stake in Graphic Packaging Holding Company (NYSE: GPK), has taken a firm stance regarding the recent board decision to replace long-time CEO Mike Doss. On December 15, 2025, Eminence sent an open letter to GPK's Board of Directors, labeling the decision to replace Doss with Robbert Reitbroek as misguided and executed without due diligence.
Concerns Over Board's Decision
Eminence, which owns approximately 4.2% of GPK, believes that the choice to replace Doss, a highly regarded CEO, raises concerns over the board's governance practices. Ricky Sandler, Eminence’s CEO and CIO, emphasized that Doss's removal was unjustified and detrimental to shareholder value.
Sandler stated, “Replacing Mike Doss with an untested, unproven outsider who was recently dismissed from his CEO role indicates a significant governance failure.” He further noted the board's refusal to meet with shareholders who expressed similar concerns regarding this pivotal change.
Call for Shareholder Action
Eminence is urging other shareholders who share these worries to voice their concerns effectively. They believe that heightened shareholder activism may lead to a Board that prioritizes protecting shareholder value over the interests of a concentrated power structure.
The company has also initiated an inspection request under Section 220 of the Delaware General Corporation Law, seeking access to records related to the board's decision-making regarding the CEO transition.
Criticism of Chairman Phil Martens
Another focal point of Eminence's critique is GPK Chairman Phil Martens. Sandler argued that Martens holds excessive influence within the Board, which has negatively impacted shareholder interests. This influence is concerning particularly because Martens recently reduced his shareholding by 70%, raising questions about his alignment with shareholder objectives.
The Dangers of Leadership Change
Replacing Mike Doss puts GPK at risk during an uncertain time, as the company navigates various complex operational changes, including the scaling up of its new Waco mill. Eminence believes that Robbert Reitbroek's lack of experience managing a company of GPK's scale and complexity could result in mismanagement and further decline in shareholder value.
As Sandler pointedly noted, “Mike is a high-integrity executive held in high regard by customers, shareholders, and competitors alike. Replacing him with an industry outsider jeopardizes employee morale and customer relationships at a critical moment.”
Conclusion: A Call for Change
Eminence Capital's call to reinstate Mike Doss illustrates a wider concern among shareholders regarding the governance of Graphic Packaging Holding Company (GPK). They are committed to ensuring that the Board is comprised of members focused on long-term value creation rather than short-sighted decisions that could jeopardize the company's future.
As this situation develops, shareholder engagement will be crucial to driving change within GPK, with Eminence prepared to evaluate all options to safeguard their investment.