Activist hedge fund Blacksheep Fund Management has secured a seat on the seven-member board at Dye & Durham (D&D) plus a say in the nomination of another director at the Toronto-based software company, according to a report by the Globe & Mail.

In a press release on Tuesday, D&D announced it had reached a "co-operation agreement" with Dublin-based Blacksheep, which owns 5.9% of the company’s shares, granting its request to designate one director to the company's board. Additionally, both parties have agreed to mutually identify a new independent director with expertise relevant to the company’s business.

Colleen Moorehead, D&D’s board chair, lauded Blacksheep for its “constructive and thoughtful engagement,” saying the deal allows for “board refreshment” while keeping the company focused on delivering value. Alex Fortune, Blacksheep’s Chief Investment Officer, expressed confidence that the new board members would be "world-class additions" who would be disciplined in capital allocation and support both the board and management.

Blacksheep is just one of a number of investors who have pushed for board changes at D&D this year. Last month, D&D accused Blacksheep, along with Engine Capital, EdgePoint Wealth Management, and OneMove Capital (controlled by former D&D chair Tyler Proud, brother of CEO Matt Proud), of attempting to gain control of the board. Engine holds 7.1% of D&D’s stock, EdgePoint owns 15%, and OneMove has an 8.4% stake.