Yet another British company in our portfolio, IMI (LSE:IMI), chose to force a successful CEO into early retirement and replace him with a newcomer because the board of directors wished to change strategy and pursue more acquisitions. Never mind that the existing management had been enormously successful. IMI shares declined 14% during the year in sterling (adjusting for a return of capital during the year). In fairness, we believe the new CEO is quite capable.
From Ruane Cunniff (Trades, Portfolio)’s Sequoia Fund Q4 2014 Shareholder Letter.
