Nelson Peltz of Trian Partners has apparently begun the process of speaking with PepsiCo, Inc. (NYSE:PEP) shareholders about spinning off the company’s snack and beverage businesses into two separate companies. That’s according to CNBC, which reports that he has already spoken with a number of shareholders who have reacted positively to him.

Nelson Peltz

Peltz to take the Pepsi case to all major shareholders

Peltz said in his firm’s quarterly letter last month that they continued to believe that the best course of action for PepsiCo, Inc. (NYSE:PEP) is to separate its two businesses. The company, however, said that it had no plans to do that after it conducted a lengthy review process. Peltz’s response was that he would take the issue to Pepsi shareholders, which he has now begun to do. He said he would “relentlessly” take their case to “every major shareholder of Pepsi in the coming weeks” because they feel very strongly about their plan.

He said the facts support his belief that PepsiCo, Inc. (NYSE:PEP) should split its businesses. In fact, he said he would buy more shares of Pepsi if necessary to prove just how strongly he believes in his plan.

Why Peltz wants Pepsi to split

The activist investor said in a letter released Thursday that the result of a split of PepsiCo, Inc. (NYSE:PEP)’s two companies would result in higher sales and margins in the company’s snacks business. Meanwhile, he said the beverage business would be able to generate stable cash flow which could then be returned to shareholders. Of course this isn’t the first time Nelson Peltz and his firm have advocated for a split of major food companies. He has successfully advocated for other breakups and mergers at other companies.

Analyst Kevin Dreyer of Gabelli Funds, which holds approximately 1.6 million shares of PepsiCo, Inc. (NYSE:PEP), said even if Peltz isn’t able to get his split, his involvement in the company could pressure management to find ways to improve it.