Activist Client Starboard Discloses 5.6% Stake in Darden Restaurants and Says Plan to Separate the Red Lobster Business is Insufficient to Maximize Shareholder Value
The New Times DealBook, The Wall Street Journal, Bloomberg, Reuters and other media outlets reported on Olshan Activist client Starboard Value's Schedule 13D filing disclosing a 5.6 percent stake in Darden Restaurants Inc., a restaurant chain based in Orlando. Starboard is the second activist investor within months to push for strategic changes at Darden. Starboard's filing comes just days after Darden, which owns the Olive Garden and LongHorn Steakhouse chains, announced plans to separate its Red Lobster business. Starboard stated in its filing that the proposed Red Lobster separation falls "significantly short" of the actions required to maximize shareholder value at Darden. Steve Wolosky, Andrew Freedman and Meagan Reda represent Starboard in connection with its activist investment at Darden Restaurants.