SAN ANTONIO -- While not commenting publicly, CST Brands president and CEO Kim Lubel this past week encouraged employees to remained focused on company and convenience-store operations rather than get caught up in comments made by one major investor and rumors of a possible sale in the media.
The internal memo came Friday, according to a report in The San Antonio Express-News, two days after Engine Capital LP, a New York-based hedge fund that owns about 1% of CST’s stock, sent a letter to CST’s board of directors listing complaints about its growth strategy and suggesting a sale of the company may be in investors' best interests.
“You may have heard or read recent rumors regarding our company,” Lubel said in the memo, according to the report. “This is something many publicly traded companies face. And, like most public companies, it is our long-standing policy not to comment on rumors or speculation. Don’t let market rumors distract you.”
“We were ... reminded this week that, as a public company, our shareholders depend on us every day to create value by superior execution,” she said in a statement to the newspaper. “We have to continue to push harder than ever to be industry leaders.”
On Thursday, business news website The Street reported that companies such as Marathon Petroleum and Alimentation Couche-Tard are among those that could be potential buyers of San Antonio-based CST.
Click here to read the complete San Antonio Express-News story.
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