Boohoo is preparing to send a letter to AIM regulatory authorities regarding Revolution Beauty’s earlier claims that the online clothing retailer had obstructed efforts to finalise its accounts.
The fashion giant also plans to seek assurances that voting decisions at a forthcoming Revolution Beauty EGM are upheld and not subsequently overturned, according to Sky News.
Insiders said the fashion group was considering requisitioning a second extraordinary general meeting in the coming days to remove additional Revolution directors and appoint more independent board members.
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The battle between the two companies has been raging for weeks as Boohoo, which owns a 26.6% stake in Revolution, has looked to oust its leadership team and install its own representatives at the helm.
The stock, which was restored last week, had been suspended for more than six months after the disclosure of serious accounting concerns at Revolution.
The probe found that Revolution had overstated profit by around £23m in its 2022 financial year, and therefore the business made a loss of around £800,000, instead of the £22m profit it had forecast.
According to Sky, one person close to the situation said an attempt to broker peace between the two companies was not impossible ahead of the first EGM, which is expected to take place in about a month’s time.
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