Depomed And Starboard Announce Settlement Agreement On Composition Of Board

(RTTNews) - Depomed Inc. (DEPO) announced that it has entered into a settlement agreement with its second largest shareholder, Starboard Value LP, regarding the composition of the Depomed Inc. Board of Directors.

Starboard has agreed to withdraw its proxy solicitation and Special Shareholder Meeting request, thereby cancelling the previously scheduled November 15, 2016 Special Shareholder Meeting.

Under the terms of the Agreement, three independent directors appointed by Starboard, James P. Fogarty, Robert G. Savage and James L. Tyree, will join the six current directors on Depomed's Board.

In connection with entering into the Agreement, the Board amended the Company's Bylaws to move the window for shareholders to make nominations of directors at, and bring other shareholder proposals before, the 2017 Annual Meeting of Shareholders to March 15, 2017 through April 15, 2017.

As part of the Agreement, Starboard, which is a 9.8% shareholder in the Company, has agreed to certain standstill restrictions until the beginning of this nomination period.