Billionaire denied Boohoo board seat after boardroom battle
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British billionaire Mike Ashley has been denied a seat on the board of fast-fashion business Boohoo. A majority of Boohoo shareholders rejected efforts by the Sports Direct founder at a meeting in Manchester on Friday, with 64% of votes opposing the appointment.
A similar number also denied restructuring expert Mike Lennon a seat on the board. Money blog: Guinness maker gives update on shortage. Mr Ashley's Frasers Group is the biggest single shareholder in Boohoo, with a 27% stake in the online fashion business.
It's been engaged in a war of words with Boohoo, writing an open letter criticising the business and seeking executive changes, including the appointment of Mr Ashley as chief executive - a demand which has so far been unsuccessful. Company boards steer the direction of businesses and play a key oversight role.
Frasers Group demands Boohoo fires CEO and appoints its founder Mike Ashley. Ashley's Frasers Group pulls plug on Matchesfashion. Sportswear tycoon Ashley pedals towards ProBikeKit deal. Mr Ashley, through Frasers Group, founded House of Fraser, Sports Direct, Flannels, Game and Jack Wills.
He has said he had hoped to turn around the online shop which, like many similar operations, has struggled financially since the end of the COVID pandemic. Item returns, supply chain problems and competition from rivals like Shein and Temu have weighed on the firm's finances.
