Boohoo has seen off the latest attempt by Mike Ashley’s Frasers Group to overhaul the online fast fashion firm’s leadership as shareholders rejected a call to oust its co-founder from the board.
The retailer – which also owns brands including PrettyLittleThing and Debenhams – said that 63% of votes cast by investors at a general meeting on Tuesday were made against a resolution tabled by Frasers to remove co-founder and group executive vice chairman Mahmud Kamani, who owns a more than 12% stake in Boohoo.
It comes weeks after Boohoo shareholders blocked attempts by Frasers to get founder Mr Ashley and restructuring expert Mike Lennon appointed to Boohoo’s board of directors, with 63.7% of shareholder votes cast against the motions.
These continued distractions are not in the best interests of creating value for all shareholders
Dan Finley, chief executive of Boohoo, said: “Once again, our shareholders have spoken.
“We want to put this disruption and distraction behind us.
“Our focus is on maximising value for all shareholders.”
Earlier this month, Boohoo accused Mr Ashley’s Frasers of a campaign to “destabilise” the firm and acting in its own “commercial self-interest” as the bitter war of words between the group and its largest shareholder heated up.
On Tuesday it called on Frasers to “end its attempts to destabilise and disrupt the group” following the latest shareholder vote.
“These continued distractions are not in the best interests of creating value for all shareholders,” it added.
Boohoo is currently undergoing a major turnaround plan under new boss Mr Finley, who took over the top role in November last year.
But Frasers, which owns a 27% stake in Boohoo, had blasted “dismal results” and urged investors to appoint Mr Ashley as the next chief executive of Boohoo and Mike Lennon to be a director at the firm.
Boohoo last year raised £39.3 million in new funding to help drive efforts to turn around its recent slump in sales.
The retailer and rival Asos, which also counts Frasers as a shareholder, has seen recent sales slide amid pressure from Asia-based rivals Shein and Temu.
