Mike Ashley’s bid to join the board at Boohoo thwarted after 99 per cent of shareholders voted against hm
MIKE Ashley’s bid to join the board at Boohoo was thwarted yesterday — after 99 per cent of independent shareholders voted against his election.
The attempt by the Frasers Group owner ended in Manchester after a six-minute meeting to which he sent two legal representatives but did not attend.
Frasers Group had built a 27 per cent stake in the fast-fashion retailer and also wanted to see Ashley’s close restructuring contact, Mike Lennon, appointed.
Former Newcastle United owner Mr Ashley had attacked Boohoo for a destruction of shareholder value and wants a say on its potential break-up.
Around 80 per cent of shareholders voted on Mr Ashley’s resolutions, which two advisory groups recommended they reject.
Chairman Tim Morris said the firm felt “very vindicated by the result” as “99 per cent of shareholders excluding Frasers voted against Frasers’ resolutions”.
New chief executive Dan Finley said he would now focus on leading a review of the business which “will take a number of months”.
He denied speculation Boohoo could look to sell some of its brands, such as PrettyLittleThing, back to any members of the founding Kamani family.
Frasers Group wants Mahmud Kamani ousted from the board and could call another vote.
SALES MISERY
RETAIL sales were weaker than expected last month as clothing and shoe sellers suffered a dip.
Official figures yesterday showed that while overall retail sales inched up by 0.2 per cent in November, they were below the 0.5 per cent growth forecast.
Analysts hope December’s figures include a bump from festive sales.
FACTORY FEAR
THE future of high street retailer The Original Factory SHop is looking uncertain after restructuring firm Teneo was appointed.
It comes after an attempt to find a buyer for the 127-store chain failed.
But a spokesman insisted: “The business continues to trade and is expected to perform well over the busy Christmas period.”