Balington insists on Victoria’s secret to restructure the board, drip gif pill drops

Activist -investor Balington Capital Group calls for Victoria’s secret to restructure her board of directors and to cancel its recently assumed shareholder rights plan.

James Mitarotonda, de CEO van het in New York gevestigde hedgefonds, dat meer dan 1% van de uitstaande gewone aandelen van het bedrijf bezit, vertelde Victoria’s Secret-voorzitter Donna James in een brief maandag dat het zijn potentieel niet heeft gerealiseerd sinds zijn scheiding van haar moederbedrijf, L Brands, in 2021, met de huidige raad die de “vernietiging van $ 2,4 miljard in de aandeel van de aandeelhouder” has followed. ”

Mitarotonda argued that the current leadership of the company, including CEO Hillary Super, lacks the experience and strategic clarity that is needed to lead a successful change. Barington noted that super limited chief executive and public business experience has only a short term of office in intimate clothing.

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Mitarotonda also emphasized the concern that Super has not won the confidence of employees and criticized her focus on re -launching secondary brands such as Pink and is expanding to athleticwear, “while they do not prioritize the core activities and international growth of the company,” that it is a sign of a “lack of strategic”.

Shares of Victoria’s Secret rose on Monday morning after the letter was published on the investor’s website.

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Six of the nine current board of directors were on the board during the decline of the company, and the remaining two independent administrators “have limited experience with success in scaling worldwide consumer companies, according to Barington.

“We believe that the secret of Victoria requires a reconstituted council consisting of drivers with proven experience in brand revitalization, operational execution, international expansion and value creation of shareholders,” wrote Mitarotonda, and added that the retailer should be replaced – of the Council of the Council of the Council of the Council of the Council of the Perspansreen, and and and and and and a Pedspests, and and and a Perspans, and and and a Pedspans, and and a Pedspests, and and and a Pedspring, and and a Pedspring, and and a Pedspring, and and a Perspans, and and a Pedspring, and and a Peds Persporters, and and a Perspansreen, and and a Pedsponthe, and and a Pedspringe Persporters.

Barington Capital said it is disappointed by the “Gif pill” plan of the company and calls it counterproductive. (Pascal Le Segretain / Getty Images for Victoria’s Secret) / Getty images)

In the meantime, the activist investor, who also has an interest in Macy’s, that it is also disappointed by the recently adopted “poison pill” plan of the company, and calls it counterproductive.

“Just worrying, it risks the entrenchment of management and the board at a time when a meaningful change is justified,” the letter continued. “Academic research and realworld experience show that companies with weak administrative structures and strong anti-bringover provisions tend to act in lower valuations.”

To help the brand “to recover his foot and strokes,” the investor said that the company should concentrate on core product categories, including bras, reinvesting in digital and international markets and streamlining the operational model.

Balington argued that the current leadership of the company, including CEO Hillary Super, lacks the experience and strategic clarity that is needed to lead a successful change. (Photo by Robert Alexander/Getty Images)

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Barington said that it had previously worked with L -Brands to help implement important initiatives. During his term of office as an adviser to the board of directors, the share price of the company rose by 221.5%.