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BBRC Demands Ouster of Victoria’s Secret Chair, Seeks Board Seat for Founder

The escalation boosts the odds of a proxy fight with a shareholder rights plan still in effect.

Overview

  • In a public letter, Brett Blundy urged the removal of Chair Donna James and requested his own appointment to the board.
  • BBRC warned it will move to replace directors at the next annual meeting if the board does not engage in good faith.
  • The investor holds about 12.9% of Victoria’s Secret shares, making it the company’s second-largest shareholder, according to LSEG.
  • Victoria’s Secret put a shareholder rights plan in place in May after BBRC increased its stake.
  • Shares fell about 2% in early trading after reports of the letter, and a separate activist, Barington Capital Group, has also pressed for board changes and an end to the poison pill.