Overview
- Reports say Elliott Investment Management has amassed a stake exceeding $1 billion in Lululemon, making it one of the retailer’s largest shareholders.
- People familiar with the talks say Elliott is working with former Ralph Lauren CFO and COO Jane Nielsen as a proposed CEO, and Nielsen told the Wall Street Journal she would welcome discussions with the board.
- Lululemon shares jumped roughly 6% to 8% in premarket trading on the news, with quotes around $221 to $224 before the bell.
- The board is conducting a formal CEO search after announcing Calvin McDonald will step down on Jan. 31, 2026, with CFO Meghan Frank and CCO André Maestrini set to serve as interim co‑CEOs.
- The company has struggled with slowing U.S. sales and rising competition even as international growth remains strong, and both Elliott and Lululemon have declined to comment publicly on the reported discussions.