By Svea Herbst-Bayliss
NEW YORK, May 18 (Reuters) – Lululemon Athletica sought to settle its bitter proxy fight with Chip Wilson as recently as last week but baulked at what it said were escalating demands from its founder, the athletic apparel company said in a regulatory filing on Monday.
The company said it had delayed filing its definitive proxy statement in the hope of reaching a settlement with Wilson, who had issued counter-proposals to its term sheet last week.
But the company said the counterproposal was “a significant departure from what had been discussed”. Wilson wanted the appointment of three directors chosen by him, including the immediate appointment of two of his nominees and a third from a pool he selected.
Wilson also asked for quarterly meetings with the company’s new CEO.
A representative for Wilson was not immediately available for comment.
Wilson, who founded Lululemon in 1998 and left the board in 2015, has criticised the company for having lost its “cool” factor and is trying to persuade investors to elect three newcomers to the board at the annual meeting next month.
Lululemon has appointed two new directors in recent months and announced the hiring of ex-Nike executive Heidi O’Neill as its new CEO.
(Reporting by Svea Herbst-BaylissEditing by David Goodman)
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