Starboard Builds Stake in Flowserve, Push for Changes

A Flowserve facility in Houston, Texas.Photographer: Tripplaar Kristoffer/Sipa/AP Photo

Activist investor Starboard Value has built a significant stake in Flowserve Corp. and is speaking to the industrial company about potential changes, according to people familiar with the matter.

Starboard and the company have been discussing ways the manufacturer could expand margins, the people said, asking not to be identified because the matter is private.