Benzinga | Apr 15, 2021 08:42AM EDT

Indaba Capital Management Issues Letter To Benefitfocus Board Calling On co. To 'Commit to Making the Board De-Classification Proposal the First Agenda Item at the 2021 Annual Meeting'

Believes Lead Independent Director A. Lanham Napier Wants to Retain Outsized Influence Over the Company's Insular Board Rather Than Add One of Indaba's Independent Candidates

Calls on the Company to Finally Commit to Making the Board De-Classification Proposal the First Agenda Item at the 2021 Annual Meeting, Especially Given its Willingness to Privately Concede on This Point to Indaba

Makes Clear That Indaba is Committed to Taking the Necessary Steps Over the Long-Term to Improve the Company's Broken Governance and Help Enhance Shareholder Value

Indaba Capital Management, L.P. (together with its affiliates, "Indaba" or "we"), which collectively with the other participants in its solicitation beneficially owns approximately 9.5% of the outstanding common shares of Benefitfocus, Inc. (NASDAQ:BNFT) ("Benefitfocus" or the "Company"), today issued the below open letter to the Company's Board of Directors (the "Board"). As a reminder, Indaba recently nominated two highly-qualified and independent candidates -- Ronald P. Mitchell and Nicholas K. Pianim -- for election to the Company's Board at the 2021 Annual Meeting of Shareholders (the "2021 Annual Meeting").