ConAgra Surges As Jana Takes Stake, Says Shares Undervalued

Shares of ConAgra Foods Inc. soared on Friday after Jana Partners LLC disclosed it has built a 7.2% stake in the food company as part of its effort to boost shareholder value. Jana said it believes the shares are undervalued in the wake of ConAgra's purchase of Ralcorp Inc. in early 2013 and will pursue changes to the board if necessary. In response, ConAgra said it is committed to working in the best interest of its shareholders. "We look forward to opening discussions with Jana Partners after the ConAgra Foods' June 30 fourth-quarter earnings announcement," said the company. ConAgra shares rallied 9.5% to $42.82 and are up 18% year to date.