(Bloomberg) -- Trian Fund Management wants PPG Industries Inc. to oust its chief executive officer and reinstall his predecessor in an effort to improve its performance before a possible split of the chemicals manufacturer.

Nelson Peltz’s New York-based investment firm, which disclosed a 2.9 percent stake in PPG this month, blames CEO Michael McGarry for the company’s underperformance over the past three years, according to a statement confirming an earlier report by Bloomberg. Trian has talked to former PPG Chairman and CEO Charles Bunch, who is prepared to return to the company, according to people familiar with the matter.

“Trian’s preference has always been to work with the existing management team whenever possible, as evidenced by our history of interactions with companies,” Trian co-founder and Chief Investment Officer Ed Garden said in the statement. “However, in this particular instance, after three years of significant under-performance driven by operating and strategic mishaps, we believe change is warranted and now is the right time to bring back Chuck Bunch."

PPG shares rose 3.4 percent to $101.30 at 9:45 a.m. in New York trading.

PPG’s board of directors unanimously supports McGarry as chairman and CEO, but is open to listening to Trian on other topics, the company said in a statement. The board also believes the company’s strategy has positioned PPG to drive growth and increase shareholder value, the statement shows.

Bunch declined to comment.

CEO Criticism

Trian’s criticism stems from several perceived missteps under McGarry, including the failed takeover of Dutch rival Akzo Nobel NV last year, slower earnings-per-share growth and an accounting probe announced in April, according to a presentation. The firm is also disappointed that PPG has lost business from home-improvement chain Lowe’s Cos., which said in February it would use Sherwin-Williams Co. as its exclusive U.S. paint supplier, it said.

McGarry took over as CEO in 2015 and took on the chairman role after Bunch retired the following year. The company has issued profit warnings in each of the past three years, including this month when it said third- and fourth-quarter earnings would be lower than expected.

Shares in the maker of paints and coatings fell the most in two years on that news, adding to a decline that’s seen them fall almost 8 percent since Bunch retired, according to data compiled by Bloomberg. Rival Axalta Coating Systems Ltd. reiterated its own third quarter guidance on the same day as PPG’s profit warning was issued.