Feb 14 (Reuters) - Activist investment fund Engaged Capital LLC sent a letter to the board of Rent-A-Center Inc asking them to start evaluating strategic alternatives, including a potential sale of the company.
Rent-A-Center shares were up 2.8 percent at $8.69 in midday trading on Tuesday.
The company’s shares have declined 75 percent over two years under the current board, Engaged Capital said.
The fund said it was prepared to nominate independent directors at the company’s annual shareholder meeting.
Engaged Capital has a 12.9 percent stake in Rent-A-Center, according to the letter. (Reporting by Jessica Kuruthukulangara in Bengaluru; Editing by Shounak Dasgupta)