Grand Rapids, Michigan-based SpartanNash and its board of directors has confirmed that investors, Macellum Advisors GP and Ancora Holdings Group, have called on the company to nominate three new candidates to stand for election to its board of directors at the company’s annual meeting of shareholders.
The company issued the following statement regarding the continuing actions it is taking to enhance shareholder value:
“The SpartanNash board and management team are committed to moving the company forward with a clear priority – driving long-term, sustainable value creation for shareholders. The board is confident that the transformation strategy is working and is the best path to continue enhancing performance. The company remains open-minded and receptive to constructive ideas, from any source, that will drive shareholder value.”
Board has implemented significant change that is driving value
Over the past four years, the SpartanNash board has overseen a comprehensive transformation to enhance the composition of the board while improving performance through leadership upgrades. During this time, the company has increased revenue and adjusted EBITDA, effectively allocated capital to the business and to shareholders and de-levered its balance sheet.
In 2020, the board recruited Tony Sarsam as CEO. He brings three decades of food marketing, operations and distribution experience to the company. Under his leadership, seven executives joined the senior management team and they are continuing this refreshment process at all levels throughout the company.
During 2021, the company improved gross margins, delivered strong grocery retail comparable sales and significant supply chain improvements. These results are enabling the company to continue to invest in transforming operations and returning capital to shareholders through dividends and buybacks during 2022.
Refreshed board best suited to oversee SpartanNash’s strategy
As previously announced, the board appointed three new directors last month as part of its refreshment process. In connection with this refreshment, three current directors will not stand for reelection at the company’s annual meeting.
Following the 2022 annual meeting, the board will be composed of nine highly qualified directors, eight of whom are independent, including an independent board chair. In addition, with diversity as a priority at SpartanNash, four of the board’s directors will be diverse across race and gender.
The 2022 annual meeting of shareholders has not yet been scheduled. The board will present its formal recommendation regarding director nominations in the company’s proxy materials that will be filed with the Securities and Exchange Commission and mailed to shareholders eligible to vote at the annual meeting.
SpartanNash’s core businesses include distributing grocery products to a diverse group of independent and chain retailers, its corporate-owned retail stores and U.S. military commissaries and exchanges; as well as operating a premier fresh produce distribution network and the Our Family brand.
The company owns 145 supermarkets – primarily under the banners of Family Fare, Martin’s Super Markets and D&W Fresh Market – and shares its operational insights to drive solutions for SpartanNash food retail customers.
For more information, visit spartannash.com.
