Norfolk Southern and activist investor Ancora struck a deal to avert a proxy fight at the railroad. Norfolk's board will expand from 13 members to 14 members as part of the settlement, the railroad said.

Norfolk Southern (NYSE:NSC) agreed to a cooperation pact with activist investor Ancora Holdings and will add one board member. Ancora and Norfolk Southern (NSC) will work together to find an independent director to add to the board,

The Atlanta-based railroad operator announced Thursday, Nov. 14, that under a cooperation agreement reached following what it termed "constructive engagement," Norfolk Southern and Ancora "will work together to identify an independent director" to join the company's board.

Norfolk Southern will add a new member to its board of directors — the 14th overall and 13th independent director — under a “cooperation agreement” with shareholder Ancora Holdings, NS