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The activist firm only recently invested in the engineering company, but its demands were quickly met -- a scenario that is seemingly becoming a trend in activist investing.
Well that was quick.
Less than three weeks after New York-based hedge fund firm Jana Partners disclosed an activist stake in URS Corp. -- a provider of engineering, construction, and technical services for government agencies and companies -- URS announced it had worked out a compromise agreement with Jana that in part resulted in the nomination of four new independent directors, effective March 27, 2014. The four individuals were all recommended by Jana, according to a person close to the firm.
URS also agreed to create what it calls a Value Creation Committee of the board, which will seek ways to boost the company's stock price. This will include hiring an investment bank to conduct a strategic review of the business segments, operations and capital structure and review management compensation.
The deal, announced on Monday, underscores the growing trend among companies to willingly engage with activists rather than dig in for a long fight. Yet even in this activist-friendly era, URS seemed almost amenable right from the outset, given the swiftness with which a deal was hammered out.
It was only as recently as February 27 that Jana, founded by Barry Rosenstein, disclosed in a 13D regulatory filing that it owned a 9.7 percent...