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Lululemon has stopped saying namaste to the man who started it all. The $11 billion yoga-inspired, athleticwear company called founder Chip Wilson “misguided” and “outdated” in a shareholder letter released Monday, urging investors to reject his three board nominees ahead of the June 25 annual meeting.
Settlement talks took a downward dog last week after Wilson demanded the right to replace directors and full reimbursement for his campaign costs. Lululemon had offered to appoint two of his nominees, but Wilson wanted more control, according to CNBC.
Wilson, who owns nearly 9% of the company, has been attacking Lululemon’s leadership for years, claiming the board forced him out in 2013 after he blamed customers for faulty yoga pants. He argues the company has prioritized efficiency over creativity and needs “more proven, creative leaders” in the boardroom. Lululemon fired back that Wilson has “troubling conflicts of interest” and advises direct competitors, including Alo Yoga and Vuori.