Advance Auto Parts announced that it has appointed A. Brent Windom, Gregory Smith and Thomas Seboldt as independent directors to the Advance Auto Parts board, effective immediately.
In connection with these appointments, the company has entered into a cooperation agreement with Third Point LLC and Saddle Point Management L.P.
“We are pleased to welcome Brent, Greg and Tom to the Advance Auto Parts board,” said Gene Lee, independent chair of the board of directors. “These directors’ automotive industry and supply chain experience will help us progress in our plan to return the company to profitable growth. With new management in place, important strategic actions underway and an enhanced board, we are confident that Advance is on the right path to create significant long-term value for shareholders.”
Advance CEO Shane O’Kelly said the board “prioritizes ongoing refreshment to help ensure we have the right expertise and experience to oversee our strategy while profitably growing our business.”
“As we continue our operational initiatives focusing on the fundamentals, improving our competitive position and serving our customers better than anyone else, including through the consolidation of our supply chain to a single unified network, we look forward to benefiting from our new directors’ extensive industry relationships and experience,” O’Kelly added.
The full cooperation agreement, which contains customary standstill, voting and other provisions, will be filed by the company with the U.S. Securities and Exchange Commission as an exhibit to a current report on Form 8-K. Additionally, Legion Partners Holdings, another Advance Auto Parts shareholder, has indicated its support for the additions of Windom, Smith and Seboldt to the company’s board of directors, according to Advance.
“These three directors bring essential operational experience and industry expertise to support Shane as he executes on an ambitious agenda,” said Daniel Loeb, chief executive officer of Third Point. “With fresh perspectives in the C-suite and board room and a long runway for growth, we believe Advance is well positioned to create meaningful value for shareholders.”
With the appointments, the company’s board will temporarily expand to 12 directors. At the 2024 annual meeting scheduled for May 22, 11 director nominees are expected to stand for election to the Advance Auto Parts board, including the three newly appointed directors.
