Victoria’s Secret has revealed why it blocked Australian billionaire Brett Blundy from joining its board, citing reputational, legal and conflict of interest concerns.
The lingerie retailer said it evaluated Blundy’s request to become a director, but concluded there was “potential for significant reputational and legal risk” as well as “conflict of interest and competition concerns”, according to a new regulatory filing.
Blundy and his investment firm BBRC International, which owns 13 per cent of Victoria’s Secret, have been pushing for changes at the retailer since 2024.
BBRC is urging investors to withhold votes from two directors, Donna James and Mariam Naficy, at the company’s annual meeting next month.
Victoria’s Secret said Naficy would not stand for re-election in June due to her professional commitments and the time and attention required to engage with BBRC’s proxy contest.
The filing also included a letter sent to Blundy in November, in which Victoria’s Secret set out its reasons for not inviting him onto the board.
It cited concerns over Blundy’s alleged “pattern of hiring executives with a history of serious allegations of sexual harassment”, as well as reported and alleged “instances of harassment and highly inappropriate employee policies” at companies he controlled.
Victoria’s Secret also pointed to potential competition concerns, noting that Leays, a company controlled by Blundy, describes itself as a global lingerie, sleepwear and beauty brand.
The company also alleged that a BBRC employee visited Victoria’s Secret stores and, according to store staff, falsely presented himself as being affiliated with the retailer in order to gain access to confidential sales information.
Blundy has previously said his retail background should qualify him for a seat on the Victoria’s Secret board. He could not be immediately reached for comment.
The dispute comes as Victoria’s Secret prepares for its annual meeting, with BBRC’s campaign adding further pressure on the retailer’s board.
An anti-takeover measure adopted after BBRC built its stake, known as a shareholder rights plan, is due to expire later this month.
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