Angie's List Adds Activist Investor Semler, Two Others to Board

Angie's List Inc. said Tuesday it will add Eric Semler and two others to its board, three months after the founder of activist investor TCS Capital Management rejected the company's initial offer to join the board.

As part of the settlement, 10-year board member John Biddinger has retired.

The additions of Mr. Semler as well as consumer technology and media industry veterans George Bell and Tom Evans expand the board's size to 11 members from nine.

In November, Mr. Semler rejected a board seat offer from the company and continued to push for a combination with IAC/InterActiveCorp's HomeAdvisor. Earlier in the month, Angie's List had said it wouldn't pursue an unsolicited $512 million cash buyout offer from IAC because it undervalued the company, which wants an opportunity to develop and enact a new growth plan before considering potential mergers.

At the time, Mr. Semler—who with TCS Capital holds a 10% stake in Angie's List—called the board seat offer "futile in light of the board's demand for onerous standstill provisions and its refusal to explore whether shareholder value can be maximized in a negotiated transaction."

On Tuesday, the company said the agreement with TCS Capital includes "customary standstill and voting commitments."

Mr. Semler said he, Mr. Evans and Mr. Bell will work to oversee the company's management and to help drive improved operating and financial performance.

"We are excited to begin this important work immediately," he said.

Shares in the company, which have fallen 14% over the past three months, fell nearly 2% in early trading Tuesday.

Write to Anne Steele at Anne.Steele@wsj.com

(END) Dow Jones Newswires

March 01, 2016 10:05 ET (15:05 GMT)

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