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Starboard set to win eight board seats at GCP Applied Technologies-sources

(Reuters) – Hedge fund Starboard Value LP is near having eight administrators elected to the board of GCP Applied Technologies Inc (GCP.N) on the chemical firm’s annual assembly, individuals accustomed to the matter stated on Wednesday.

While not all votes have been forged earlier than Thursday’s annual assembly and the outcome might change, preliminary figures point out Starboard will see its complete slate elected by GCP shareholders, the sources stated.

The sources requested to not be recognized earlier than an official announcement. GCP and Starboard didn’t instantly reply to requests for remark.

Bloomberg reported the anticipated end result first on Wednesday.

The vote will doubtless give Starboard management of the board and marks the primary time one of many activist investor’s proxy contests has resulted in a vote because it made company governance historical past by unseating all 12 administrators at Darden Restaurants in 2014.

GCP and Starboard, which owns 9% of the corporate, have been locked in an more and more bitter proxy battle since early April when the hedge fund nominated eight candidates, together with Peter Feld, Starboard’s director of analysis, to the board.

GCP at present has 9 board members and can broaden the scale to 10 on the annual assembly on Thursday. GCP ran a slate of 10 director candidates.

Starboard received vital help for its marketing campaign when Standard Industries, Inc and its affiliated entity 40 North Management LLC, which collectively personal 24.4% of GCP’s inventory, backed the activist hedge fund.

With Starboard and 40 North controling practically one third of the vote, it was a troublesome battle for the corporate to win.

Reporting by Seva Herbst in Boston; Editing by Tom Brown

Source: feeds.reuters.com

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