By Mackenzie Tatananni

Starboard Value has been advocating for change at Algonquin Power & Utilities since it began engaging with the company in 2023. Now, the prominent activist investor has reduced its stake.

On April 1, Starboard disclosed a 7.4% stake in Algonquin Power through a filing with the Securities and Exchange Commission, amounting to more than 57 million shares. The hedge fund held an 8.7% stake in the company around this time last year, according to a separate filing from March 14, 2025.

Starboard first disclosed its stake in Algonquin Power in June 2023 and swiftly set about pushing for changes. The fund sent a letter to the company's board and top executives that July, asserting Algonquin Power's valuation had been "hampered by a number of factors" and that recent actions made it "uninvestible for a large portion of traditional utility investors."

Starboard argued at the time that the sale of the "substantial majority" of Algonquin Power's renewables assets could help the company reduce leverage and improve earnings per share.

In March 2025, Algonquin Power announced the extension of a cooperation agreement with the hedge fund along with the appointment of two new board directors including Gavin Molinelli, a senior partner at Starboard.

Algonquin Power is a regulated utility specializing in renewable energy and water solutions. It is based in Canada and also operates within the U.S., Chile, and Bermuda. The company's shares are dually listed in Toronto and New York.

The stock has outperformed the broader market over the past few months. Heading into Thursday, Algonquin Power shares have gained 1.3% in 2026 and 22% over the past 12 months. The S&P 500 is down 4% and up 16%, respectively, over the same periods.

Inside Scoop is a regular Barron's feature covering stock transactions by corporate executives and board members -- so-called insiders -- as well as large shareholders, politicians, and other prominent figures. Due to their insider status, these investors are required to disclose stock trades with the Securities and Exchange Commission or other regulatory groups.

Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com

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(END) Dow Jones Newswires

April 03, 2026 21:30 ET (01:30 GMT)

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