Brink's Reaches Agreement With Activist Investor, Fitch Views Event As 'Positive'

Brink's Company BCO announced on Monday it has reached an agreement with activist investor and shareholder Starboard Value. As part of the agreement, Brink's announced the addition of three new independent directors to the company's Board of Directors and its current CEO, Thomas Schievelbein, will retire.

Fitch Ratings commented on the agreement on Tuesday, noting that it is "positive to the extent that the parties were able to avoid a protracted proxy battle" that could have "distracted" management from its ongoing turnaround initiatives.

Fitch added that the new board members and future CEO is likely to focus on EBITDA and margin improvements, rather than a major acquisition or share repurchases to drive shareholder value.

Shares of Brink's were trading lower by 0.42 percent at $28.66 Wednesday morning.