Overview

• Charles River Laboratories has finalized a cooperation agreement with Elliott Investment Management, its largest shareholder, to add four new board members and conduct a strategic review.
• The board changes will see four incumbent directors step down, resulting in an 11-member board with nine independent directors after the May 20 annual meeting.
• Elliott’s Steven Barg will join the board alongside three other directors with pharmaceutical industry expertise to strengthen governance.
• The strategic review will evaluate the company’s operations and potential initiatives to improve efficiency and unlock long-term shareholder value.
• Shares of Charles River surged 16% following the announcement, recovering some of the losses tied to recent FDA regulatory shifts on animal testing methods.