Pet food company Freshpet Inc said has reached an agreement with Jana Partners and appointed Timothy McLevish, one of the activist investor's director nominees, to its board.
Shares of in the pet food firm, which have more than doubled since September last year, were up about 1% in early trade on Monday. As of last close, its market capitalisation was $3.82 billion.
Along with McLevish, Freshpet said it had also appointed Joseph Scalzo to its board of directors. Scalzo, who began his career at Procter & Gamble, would sit on the operations oversight committee of the board.
Jana in June had filed a complaint in the court of Chancery of the State of Delaware against Freshpet and the company's board of directors, arguing that it should have the opportunity to nominate four directors to the board at its annual meeting this year.
Upon reaching the agreement, Freshpet said Jana agreed to withdraw its other director nominations it had previously submitted to the company.
Jana would also be subject to standstill restrictions such as owning more than 12.5% of Freshpet's outstanding common stock. As of August, Jana had a 7.5% stake in Freshpet, down from 9.2% in June.