* Five new directors, including 4 proposed by Elliott,

will join board

* Elliott supports new CEO John Chidsey's leadership

* Elliott pushed for better guest experience, improved

financial results

(Adds details on new directors, Elliott's requests, background

on past campaigns)

By Svea Herbst-Bayliss

March 27 (Reuters) - Norwegian Cruise Line Holdings ( NCLH )

is shaking up its board to improve performance amid

pressure from activist investor Elliott Investment Management.

The world's third-largest cruise operator said on Friday it

will add five new directors at the end of the month, including

executives with experience in running an airline, a theme park

and an investor who has expertise in taking companies private.

Last month Elliott, one of the world's busiest activist

investors with approximately $80 billion in assets, unveiled its

more than 10% stake in Norwegian alongside calls for management

to improve the guest experience and financial results.

Earlier this month, Elliott, now Norwegian's largest

shareholder, called for a board overhaul after the company

reported lower profits and a weak outlook for 2026.

The cruise operator warned on Friday that rising fuel costs

linked to geopolitical uncertainties would weigh on profits this

year and that new reservations had slowed as consumers face

rising prices and are watching their spending more.

Chief Executive John Chidsey, who has been credited with

previously turning around sandwich chain Subway and was

appointed to the cruise line's top job in February, will be

given the additional title of chairman of the board.

Alex Cruz, a former chief executive of British Airways, will

become lead independent director. Former Disney Experiences

chief financial officer Kevin Lansberry, Steve Pagliuca, a

former managing partner of private equity giant Bain Capital,

Brian MacDonald, president of integrated software provider CDK

Global and Jonathan Cohen, founder and chief executive of

investment firm Hepco Capital Management, will also join the

board on March 31.

Four long-serving directors, including Stella David who had

been the chairperson, will leave.

The change in directors marks one of the most dramatic

reshaping of a board since 2024 when five of Elliott's 10

nominees became directors at Southwest Airlines after the hedge

fund threatened a proxy fight.

Norwegian has a market value of roughly $8.6 billion and its

stock price has fallen nearly 30% in the last five years. Its

much bigger rival Royal Caribbean Cruises ( RCL ) saw its stock

price surge 211% during the same time.

Elliott, which is also currently pushing for changes at

software company Synopsys ( SNPS ) and orthodontics company

Align Technology ( ALGN ), wanted Norwegian to develop and

implement a new business plan to better compete with rivals and

to have leadership in place to oversee a successful

transformation.

Elliott previously said the right kind of changes could help

Norwegian's stock price surge to $56 a share, compared to

its$18.81 per share price on Friday.

"We see the potential for significant value creation ahead

under (CEO John Chidsey's) leadership," Elliott partner John

Pike said, adding that the new board will help restore investor

confidence.

While Elliott is foremost focused on operational

improvements at Norwegian, industry analysts said the reshaped

board's expertise in taking companies private might also signal

readiness to pursue a sale at some point in the future.