Ananym urges Henry Schein to cut spending, sell unit, Reuters reports

Activist Ananym Capital Management is urging Henry Schein (HSIC) to refresh its board, cut costs, tackle succession planning and consider selling its medical distribution business, Svea Herbst-Bayliss of Reuters reports, citing sources close to the matter. A sale of the medical distribution business could help drive up the share price by 20% while the company’s earnings could jump by 35% if spending were curtailed, Ananym has told Schein executives, according to the Reuters’ sources. Ananym argues that Schein needs new board members and ultimately a new CEO to tackle spending that has spiraled out of control, integrate recent acquisitions and nurture and hold onto new talent, the sources added.