Bed Bath & Beyond said on Monday it appointed five new independent members to its board, replacing some directors including co-founders Warren Eisenberg and Leonard Feinstein, after facing pressure from a trio of activist investors.

Shares of the New Jersey-based home furnishing retailer fell about 3 percent in mid-day trade.

Last month, activist investors Legion Partners Asset Management, Macellum Advisors GP, and Ancora Advisors urged Bed Bath & Beyond to replace its entire board and oust Chief Executive Steven Temares, citing the company's inability to grow sales and margins.

The company's latest board shake-up, however, did not please the trio, which declined an invitation to participate in the transformation of the board.

Legion Partners said it was "disappointed" with the fact that the CEO would continue in his post.

The investors said the new additions to the board do not have the required skill sets and retail experience to effect swift and real change as opposed to their slate of 16 members with varied retail experience.