Struggling Papa John’s names activist investor as chairman

FILE - This July 17, 2018, file photo, shows the corporate headquarters of Papa John's pizza located on their campus, in Louisville, Ky. Starboard is investing $200 million into Papa John’s and has named its CEO as chairman of the pizza chain. Starboard Value LP said Monday, Feb. 4, 2019, that CEO Jeffrey Smith will serve as chairman of Papa John’s.. (AP Photo/Timothy D. Easley, File) FILE - This July 17, 2018, file photo, shows the corporate headquarters of Papa John's pizza located on their campus, in Louisville, Ky. Starboard is investing $200 million into Papa John’s and has named its CEO as chairman of the pizza chain. Starboard Value LP said Monday, Feb. 4, 2019, that CEO Jeffrey Smith will serve as chairman of Papa John’s.. (AP Photo/Timothy D. Easley, File)

By Associated Press February 4, 2019 2 min read

Struggling pizza company Papa John’s has turned to activist investment firm Starboard Value to help it engineer a turnaround.

Starboard CEO Jeff Smith will become chairman of Papa John’s board. Also named to the board are Anthony Sanfilippo, the former chairman and CEO of Pinnacle Entertainment Inc., and Steve Ritchie, Papa John’s current CEO.

“Papa John’s has always stood for higher quality pizza, and we believe Papa John’s has a strong foundation,” Smith said in a statement. “We look forward to providing leadership, sponsorship, and support to instill operational, financial and corporate governance best practices, and working with the Papa John’s team to develop a disciplined long-term strategic plan.”

Smith was the chairman of the board at Darden Restaurants, which owns the Olive Garden chain, from 2014-2016.

Papa John’s shares jumped 9.6 percent to $42.21 in midday trading Monday.