NEW YORK (AP) — Activist investor Starboard Value said Thursday that it wants to hold a meeting with Depomed's shareholders to discuss dumping all of the pharmaceutical company's board members and replace them with its own candidates.
In a letter to Depomed's shareholders, Starboard said Depomed is undervalued and its board members don't have shareholder's best interest.
Depomed, based in Newark, California, said in a statement Thursday that its board and management is committed to creating value.
Starboard has a nearly 10 percent stake in Depomed. It has been pushing to replace the board since last month.
Starboard has six candidates for the board, including Starboard CEO Jeffrey Smith. Others include former Endo Pharmaceuticals Inc. CEO Peter Lankau and former Food and Drug Administration Deputy Commissioner Mary Pendergast.
Depomed's products include products for pain and neurology related disorders.
Shares of Depomed Inc. slipped 3 cents to $19.94 in afternoon trading Thursday. Its shares are down 3 percent over the past year.