SAN JOSE, Calif. – Harmonic (NASDAQ: HLIT) today announced that it has entered into a cooperation agreement with Scopia Capital Management LP ("Scopia").
"We appreciate the constructive dialogue that we have had with Scopia, and we are pleased to have reached this agreement," said Patrick Harshman, CEO and president, Harmonic. "We are continuing to build on the momentum in our Cable Access and Video segments. We remain very excited about our future opportunities."
Jerome Lande, Partner and Head of Special Situations for Scopia, added, "We are great admirers of the innovative solutions that Harmonic is bringing to market and look forward to collaborating with management and the board on realizing Harmonic's full potential."
Under the terms and subject to the conditions of the agreement, Scopia has the right to appoint two directors to Harmonic's board of directors during the next year. In addition, Scopia will support Harmonic's slate of nominees at the upcoming 2021 annual meeting and abide by customary standstill and other provisions.
The complete agreement will be included as an exhibit to a Current Report on Form 8-K, which will be filed with the Securities and Exchange Commission.