In a significant development for TriMas Corporation (TRS), activist investor Barington Capital Group has escalated its pressure on the company, urging it to consider a strategic review that could lead to the sale of the entire company. This call to action comes at a pivotal time as TriMas's CEO, Thomas Amato, is set to step down by the end of June or earlier, depending on the appointment of a successor.

Barington, which holds approximately 1.5% of TriMas's shares, has been a long-time investor in the company. In a letter to TriMas Chairman Herbert Parker, Barington's founder James Mitarotonda emphasized that the current juncture is optimal for exploring strategic alternatives. He argued that hiring a new CEO, who would likely embark on a new long-term strategic plan, is not in the best interest of shareholders at this time. Instead, Barington believes that the immediate hiring of a financial advisor to explore potential sales options is a higher priority.

The activist investor has been vocal about TriMas's diverse business segments, including packaging, aerospace, and specialty products, which they argue do not fit well together. This structure, according to Barington, has contributed to a lagging stock price, with TriMas's shares falling 25.5% over the last five years, closing recently at $23.12. Barington has specifically urged TriMas to consider divesting its aerospace and Arrow Engine units, or even selling the company as a whole.

TriMas, headquartered in Bloomfield Hills, Michigan, and with a market value just under $1 billion, has yet to respond to Barington's latest demands. The company's performance under Amato's eight-year tenure has been criticized by Barington for missteps and a failure to streamline its portfolio effectively.

This push by Barington aligns with a broader trend of activist investors stepping up demands for mergers and acquisitions in 2025, influenced by recent shifts in government policies and an increase in M&A activity. Last year, for instance, aerospace parts maker Barnes Group was taken private by Apollo Funds, highlighting the potential for such strategic moves.

Barington's activism is not limited to TriMas. The firm has also been making headlines for its efforts to influence other companies, such as retailer Macy's and casket-maker Matthews International, where it is currently engaged in a proxy fight despite Matthews announcing plans to sell one of its units as per Barington's earlier recommendations.

As TriMas navigates this period of transition and scrutiny, the outcome of Barington's push for a strategic review and potential sale will be closely watched by investors and industry observers alike, potentially setting a precedent for similar actions in the sector.