Activist Investor Ups the Pressure on Ugg Parent, Nominates New Board

Marcato Capital Management LP, an activist investor with a 6.1 percent stake in Deckers Brands’ shares, has made good on its promise to nominate a full slate of new directors to replace the Ugg parent’s existing board.
The activist hedge fund today nominated 10 new members — including L.L. Bean SVP and chief marketing officer Steve Fuller; David’s Bridal president and CEO Robert Huth; Ralph Lauren head of global human resources Mitchell Kosh; and former Michael Kors executive Anne Waterman — to replace Deckers’ current board at the company’s annual shareholder meeting on Dec. 14, 2017.
In connection with the nominations, Marcato also sent a letter to Deckers’ board — echoing similar sentiments of a letter the activist investor sent to the company in June — criticizing the company’s “ongoing underperformance and failure to take corrective actions to improve profitability and shareholder value.”
“Deckers has enjoyed a strong, profitable brand with Ugg for many years, yet has failed to translate this enviable position into growth in earnings and shareholder value,” Marcato Managing partner Mick McGuire said in a release today. “Given the company’s significant underperformance compared to peers, coupled with the board’s failure to take the necessary corrective strategic action, we believe change Read More…

Source link

Show More

Leave a Reply