Activist Investor Withdraws Nominees for eBay Board After Company Names CEO

By Allison Prang 

Activist investor Starboard Value LP has withdrawn its nominees for eBay Inc.'s board after the online marketplace company named a new chief executive, the companies said Thursday.

EBay also said it expects to select a new independent board director and will consider the people Starboard nominated. EBay will choose that new director in the next few months.

EBay said Monday said that Jamie Iannone -- who worked at eBay from 2001 to 2009 -- will become its chief executive officer April 27.

Mr. Iannone recently worked as Walmart Inc.'s chief operating officer for its e-commerce business.

Starboard, which first targeted eBay more than a year ago and settled for one board seat at the time, had nominated four additional directors to the board earlier this year, including its own research director, Peter Feld. The fund had urged eBay to search for an external CEO and move faster to sell its online-classified ads business or make changes to its board.

Ebay also has been pushing forward with a sale of its classifieds business, despite the fact that the coronavirus has slowed most deal activity.

The global health crisis that has roiled the markets has also sidelined many activist investors, whose campaigns revolve around taking positions in companies they see as undervalued and pushing them to make changes to boost their stock prices. Starboard is one of the few activist investors forging ahead with several campaigns, though it is unclear how many, like its one aimed at eBay, could be pulled.

Write to Allison Prang at [e-mail]

(END) Dow Jones Newswires

April 16, 2020 10:54 ET (14:54 GMT)

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