Carl Icahn

IMG: via Forbes

Activist investor Carl Icahn and Transocean Ltd. may have come to an agreement on shareholder dividend payouts. In May, Icahn pressed for a $4 per share dividend, a proposal that was voted on and rejected by Transocean shareholders. Currently the payout sits at $2.24, and this new agreement will have shareholders vote on an increase to $3 per share payouts and cut costs.

This new deal is interesting considering that Icahn and Transocean were battling for the majority of the year—with Transocean coming out on top. However, making a deal now will likely prevent future altercations, something which the company and its shareholders would no doubt appreciate.

Icahn has been pushing for changes since early this year, when he claimed that Transocean participated in “ill-advised mergers, employed unsuccessful development strategies and squandered the substantial cash flow.”

Transocean’s proposed changes would hopefully increase financial flexibility, responsibility, and success. “Transocean is now on the road to realize its great potential,” Icahn said, clearly pleased with the latest developments.

Be sure to read our new profile on Carl Icahn to learn more about the activist investor and his self-made success.