Hedge Funds

Activist investor Sandell nominates 8 to Bob Evans board

Faber Report: Proxy fight brewing at Bob Evans

Hedge fund manager Tom Sandell has nominated a slate of eight directors to the board of Bob Evans Farms, the latest development in his campaign against the restaurant chain.

In January, Sandell Asset Management filed a lawsuit to ramp up pressure on Bob Evans Farms, which operates hundreds of restaurants across America. Sandell wants Bob Evans to spin off its packaged food business and sell real estate as a means to unlock shareholder value.

Watch: Sandell urges Bob Evans Farms to unlock shareholder value

Sandell owns a 6.8 percent stake in Bob Evans. According to a release from the hedge fund, Sandell plans to nominate the former CEOs of several food and beverage companies, including Arby's, Sonic and O'Charley's.

—By CNBC's Jeff Morganteen. CNBC's David Faber and Reuters contributed to this report.