Rapid7 expands board, reaches agreement with Jana Partners

Rapid7 Inc., a Boston-based cybersecurity firm, has reached a settlement with activist investor Jana Partners, resulting in the addition of three new directors to its board. This agreement expands Rapid7's board from eight to eleven members and comes amid significant pressure on the company's stock, which has dropped 41% over the past year. Jana Partners, which owns a 5.8% stake in Rapid7, has been advocating for operational improvements and exploring potential sale options to enhance shareholder value. CEO Corey Thomas expressed confidence that the new board members will help accelerate the company's growth strategy. Despite these changes, Rapid7 has faced challenges in a competitive market, prompting discussions about its future direction. The stock was recently trading near its 52-week low, highlighting the urgency behind the board restructuring.