2nd Apr 2019 14:07
LONDON (Alliance News) - Fashion retailer Superdry PLC on Tuesday afternoon said that two special resolutions proposed by its co-founders were passed at a general meeting held earlier in the day.
As per votes cast at the meeting, 51.15% of shareholders approved the re-election of co-founder and former chief executive Julian Dunkerton as a director of the company, with 48.85% of votes against it.
Dunkerton resigned last year amid a catastrophic collapse in the company's share price following a slew of profit warnings from the firm, which led to it being demoted from the FTSE 250. Superdry has struggled to maintain sales for its well-known vibrant hoodies in recent years.
A similar result was achieved in respect of the proposed appointment of Peter Williams as a director, with 51.15% in favour and 48.85% against. Williams is currently non-executive chair of online fashion brand boohoo Group PLC.
Superdry's board, which had in multiple occasions said it unanimously recommend that shareholders vote against the two appointments, said it will "meet immediately" to assist the process of change.
The board had previously said that in the event the resolutions were passed, all its directors would either resign or not seek re-election.
However, Chair Peter Bamford said: "Whilst the board was unanimous in its view that the resolutions should be rejected and 74% of shareholders other than Julian and James have voted against, there was a narrow overall majority in favour and we accept that outcome."
Earlier on Tuesday, the fashion retailer had published results of proxy votes which reflected a similar outcome to that of the final meeting results.
The proxy votes cast represented 67.4 million Superdry shares, with the company having 82.0 million shares deemed eligible to vote.
In March, the fashion retailer received a requisition request from co-founders Dunkerton and James Holder, who hold a combined 29% stake, calling for a general meeting of the company to propose changes to the retailer's board.
The two were seeking the re-appointment of Dunkerton to the board and the appointment of Williams.
In response to the request, Superdry said it believed that a return of co-founder Dunkerton to the board would be "extremely damaging" to company's prospects.
Superdry shares were trading 5.8% lower at 516.00 pence each on Tuesday afternoon.
Related Shares:
BoohooSDRY.L