Activist Blackwells settles with Colony, creates venture to buy stock

BOSTON (Reuters) – Real estate and investment firm Colony Capital Inc on Friday reached a settlement with Blackwells that hands the activist investor a fourth board seat and creates a new vehicle to buy Colony stock on the open market.

Colony said Jeannie Diefenderfer, an executive with technical and operational experience, will join its 12-member board.

In return Blackwells, which had been pushing to install five directors, has agreed to withdraw its slate, Colony and Blackwells said in a statement.