Jana demands QEP form independent committee to study spin-off

Wed Nov 13, 2013 11:04am EST

Nov 13 (Reuters) - The board of oil producer QEP Resources Inc should immediately form a committee, independent of Chairman Charles Stanley, to evaluate a spin-off of the company's pipeline business, activist hedge fund Jana Partners LLC said in a letter released publicly on Wednesday.

Jana, which disclosed a 7.5 percent stake in the company last month and is now its largest shareholder with 7.6 percent, said Stanley has not fully unlocked the value of the company's pipeline business for shareholders.

Jana wants the QEP board to form a committee to study a spin-off, or possibly a sale, of the unit.

A QEP representative was not immediately available to comment.

Shares of QEP rose 3.4 percent to $33.14 in morning trading.

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