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Bill Ackman: Cleaning Up Nelson Peltz's Mess

Bill Ackman and Pershing Square has targeted Mondelez, with a 7.5% stake. This is the same Mondelez that Nelson Peltz of Tiran Partners is involved in. Peltz certainly backed the wrong dog when he chose Mondelez over Kraft following the 2012 split. But that's a history of Peltz, seemingly always in the wrong company at the wrong time. Peltz has tried getting Pepsi and Mondelez to merger, but he just doesn't have the pull.

The writing all over the damned wall - There had been some speculation as to what could be Ackman's new stake, as he's been alluding to a new large position for several months. In June, we opined that via the catalyst watchlist that it could be Mondelez.

At the time, we believed that Ackman could help push for a sale of Mondelez, likely to Kraft Heinz. Or - we could see Ackman help 3G Capital turn it into a platform company for smaller processed foods acquisitions. Ackman knows 3G well, having invested with them and worked together on Burger King and Justice. 

On a pro forma basis, it looks like Mondelez is going to be Ackman's largest stake. More to come on this via Activist Strategy.