Lululemon Ends Proxy Battle With Founder Chip Wilson
Lululemon reached a deal with founder Chip Wilson to end their proxy battle. Wilson will receive two board seats in exchange for an 18-month standstill period.
LULULEMON ATHLETICA INC ended a proxy battle with founder Chip Wilson, granting him two board seats in exchange for an 18-month standstill agreement. This deal follows a decline in the stock price of more than 60% over the last 12 months. The truce allows the brand to stabilize its leadership before a new chief executive takes over in September.
### Board Reshuffle and Strategic Silence Wilson, who holds an 8.7% stake, secured board positions for Marc Maurer, former co-CEO of ON HOLDING AG-CLASS A, and Laura Gentile, a former ESPN executive. A third director with product expertise will be appointed by October 1. In return, Wilson agreed to cap his ownership stake and stop disparaging the company for approximately 18 months.
