Dan Loeb, the US activist investor known for pushing change at Yahoo, Sotheby's and Honeywell, has splashed out on a $3.5bn stake in foods giant Nestlé, writes Saabira Chaudhuri for The Wall Street Journal.

The stake represents the largest-ever initial stake taken by Loeb's fund, Third Point - but his $3.5bn only buys a 1.25% stake in Nestlé, which is one of the world's largest public companies.