Billionaire Blundy Demands Victoria's Secret Board Shakeup
Australian billionaire Brett Blundy is intensifying his campaign for significant changes to the board of Victoria’s Secret & Co., alleging that the lingerie retailer has failed to engage constructively on crucial steps to enhance shareholder value.
In a direct letter sent to Victoria’s Secret on Tuesday, Blundy, who is the founder of the investment firm BBRC International Pte, explicitly called for the removal of current board chair Donna James. He further advocated for the immediate appointment of a new, independent chair to oversee the company’s governance.
Blundy articulated his firm belief, stating, “We believe the most direct route to maximise value is to add stockholder perspectives to the boardroom and improve corporate governance.” This stance underscores BBRC’s commitment to ensuring the board acts in the best interests of its investors.
BBRC International Pte holds a substantial stake in Victoria’s Secret, owning approximately 12.9% of the company’s shares. The retailer’s stock has experienced a notable decline of roughly 13% this year, bringing its current market valuation to approximately $2.9 billion.
Blundy revealed that BBRC has made numerous attempts over the past two years to engage with the Victoria’s Secret board, seeking dialogue on various strategies to improve corporate governance. However, he lamented that these efforts had not resulted in meaningful engagement from the company’s leadership.
Expressing his frustration, Blundy wrote, “The board’s defensive posture only serves to validate our concern that objective oversight and a stockholder’s perspective are needed in the boardroom.” This statement highlights a growing sentiment of dissatisfaction among significant shareholders.
As of the time of reporting, a representative for Victoria’s Secret & Co. did not immediately respond to requests for comment regarding BBRC’s letter. The contents of BBRC’s communication were initially reported by The Wall Street Journal earlier on Tuesday.
