Starboard Plans Knife River Board Challenge

Activist investor Starboard Value plans to nominate directors to Knife River’s board, escalating its campaign for the construction-materials company to improve profitability or consider a sale. Starboard has urged Knife River to raise its margins to 22% by fiscal 2029, compared with about 15% in the quarter ended June 30; it says some peers achieve margins closer to 30%. The proposed board challenge is intended to press for operational changes, a clearer improvement plan or a strategic review. Knife River says it is focused on margin expansion and profitable growth but has not detailed how it would meet Starboard’s target.