Crown Crafts Inc. has agreed to add a candidate picked by the company’s largest shareholder to the board of directors election set for Crown’s Aug. 9 annual meeting under a settlement announced Friday.
The Gonzales-based baby products maker said the Wynnefield Group’s nominee, Patricia Stensrud, will be included in Crown’s slate of nominees for the board. Donald Ratajczak, who has served on the board since 2001, is the other nominee. As part of the settlement with Wynnefield, board member Joseph Kling, whose term expires at the annual meeting, is not being re-nominated.
In the past few years, the Wynnefield Group has fought Crown Crafts management over the company’s strategy, staging proxy fights to put Wynnefield supporters on the Crown board. As part of the settlement, Wynnefield will discontinue its efforts to gather shareholders’ votes for its board nominees and support the two put forward by Crown.
“We are pleased to have reached an amicable settlement with the Wynnefield Group and, thus, avoid another costly and distracting proxy fight with them,” said E. Randall Chestnut, chairman, president and chief executive officer.