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Tuesday, January 20, 2015

Starboard urges HR services provider Insperity to explore sale, (NYSE: NSP)

Activist investor Starboard Value LP urged human resource services provider Insperity Inc to explore a potential sale, calling the company deeply undervalued. Starboard, which along with its affiliates holds about a 13.2 percent stake in Insperity, also suggested ways for management to improve execution, cut operating expenses and improve capital allocation.Insperity can boost operating margins by cutting corporate overheads - including selling its two corporate jets - and shifting away from TV advertising and other sports-related marketing, Starboard said.Starboard also suggested that Houston, Texas-based Insperity purchase back shares.Stadium Capital Management, which had about a 9 percent stake in Insperity in April, said last year that the company was "substantially undervalued".

Insperity, Inc., formerly Administaff, Inc., is a provider of human resources (HR) and business performance solutions. Shares of NSP traded higher by 0.55% or $0.2/share to $36.34. In the past year, the shares have traded as low as $26.85 and as high as $36.23. On average, 153603 shares of NSP exchange hands on a given day and today's volume is recorded at 130187.