Boohoo reveals plans for boardroom coup at troubled Revolution Beauty - Indoors Beauty

Boohoo reveals plans for boardroom coup at troubled Revolution Beauty

Boohoo reveals plans for boardroom coup at troubled Revolution Beauty

Revolution Beauty’s greatest shareholder, on-line style agency Boohoo, has known as for the elimination of prime bosses at the troubled cosmetics retailer.

Boohoo – which owns a stake of round 26.6% in Revolution Beauty – mentioned it plans to vote in opposition to the reappointment of Revolution Beauty’s CEO Bob Holt, Chairman Derek Zissman and CFO Elizabeth Lake at the agency’s upcoming annual common assembly for shareholders on 27 June 2023.

It has additionally requested a separate common assembly to oust the three bosses and change them with Boohoo Non-Executive Director and former New Look Chairman Alistair McGeorge as Interim Executive Chairman and ex-Boohoo finance boss Neil Catto as CFO.

Boohoo mentioned the overhauled board ought to then “undertake a rigorous course of” to nominate further unbiased administrators.

Boohoo mentioned: “As Revolution Beauty’s greatest shareholder, Boohoo is grateful to Bob, Derek and Elizabeth for stabilising the enterprise.

“However, as Revolution Beauty transitions to its subsequent section, the place the main target should change to progress, Boohoo believes a senior management staff with the proper retail, e-commerce and client manufacturers expertise is required to ship shareholder worth.”

Problem-hit Revolution Beauty has seen its shares suspended since September final 12 months after auditors refused to log out its accounts for the final monetary 12 months, which sparked an investigation into its funds.

In the delayed interim outcomes printed earlier this month, the enterprise mentioned losses narrowed to £13.3 million within the six months to the top of August 2022 from £28.8 million a 12 months earlier.

Revenue fell 4.2% to £75.3 million, with digital wholesale income falling 22%, whereas its personal net gross sales dropped 8%.

In the UK, income from shops grew 21% in contrast with the identical interval a 12 months earlier as clients returned to bricks-and-mortar retailers, the corporate mentioned, because it signed a brand new take care of Boots and noticed sturdy gross sales in Superdrug.

Boohoo first invested in Revolution Beauty in August 2022 earlier than upping its stake in November final 12 months.

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