Lululemon Founder Starts Proxy Battle for Board Restructuring

• Wilson nominated former On Running co-CEO Marc Maurer, former ESPN CMO Laura Gentile, and former Activision CEO Eric Hirshberg to replace current board members
• Elliott Management disclosed a $1 billion stake earlier this month and has been working with former Ralph Lauren executive Jane Nielsen as a potential CEO candidate
• Wilson, one of Lululemon's biggest shareholders, previously clashed with the board in 2015 and sold half his stake to Advent International for $845 million in exchange for two board seats

Lululemon Founder Launches Proxy Battle Amid CEO Transition Crisis

Lululemon founder Chip Wilson initiated a proxy fight on December 29, nominating three independent directors to the company's board following CEO Calvin McDonald's announced departure in January without a clear successor. Wilson's nominees include former On Running co-CEO Marc Maurer, ex-ESPN CMO Laura Gentile, and former Activision CEO Eric Hirshberg.

The board has appointed CFO Meghan Frank and Chief Commercial Officer André Maestrini as interim co-CEOs while conducting a CEO search. Wilson criticized the board's "third total failure of oversight" regarding succession planning and stated he would not support any CEO selected before board changes occur.

Elliott Investment Management, which recently disclosed a $1 billion stake in Lululemon, has reportedly been working with former Ralph Lauren executive Jane Nielsen as a potential CEO candidate. While Wilson is not collaborating with Elliott, sources indicate their campaigns won't interfere with each other.

Wilson, one of Lululemon's largest independent shareholders, has a history of board conflicts. He resigned as chairman in 2013 following a yoga pants recall scandal and sold shares to private equity firm Advent International for $845 million in 2015 to avoid a previous proxy fight.

Analyst David Swartz from Morningstar suggests Lululemon may accept the three new board members to appease Wilson, noting that only Maurer has direct industry experience. Wilson likely didn't seek a personal board seat due to his significant stake in competitor Amer Sports.

Lululemon stated it will evaluate Wilson's nominees according to governance procedures and present recommendations in its definitive proxy statement before the 2026 annual meeting. The company emphasized its commitment to finding a new CEO through a comprehensive search process.