Browning West Troubled by the Gildan Activewear Board’s Desperate and Erratic Behavior Following Concerning News About CEO Vince Tyra
March 15 2024 - 8:00AM
Business Wire
Browning West, LP (together with its affiliates, “Browning West”
or “we”), which is a long-term shareholder of Gildan Activewear
Inc. (NYSE: GIL) (TSX: GIL) (“Gildan” or the “Company”) and
beneficially owns approximately 5.0% of the Company’s outstanding
shares, today issued the below statement regarding the Company’s
apparent decision to leak a meritless letter it sent to a U.S.
regulator to a Canadian news outlet.
“It is unfortunate that the Board is acting in a desperate,
erratic manner now that its apparent failures of diligence and
judgement during last year’s CEO search process have been
validated. Rather than use an error-ridden regulatory letter to
spur a shameless publicity stunt in a captive Canadian newspaper,
the Board should immediately accept shareholder feedback and
collaborate with us on the appointment of our highly qualified,
independent director candidates. Shareholders are tired of the
Board’s bizarre and wasteful ‘campaign.’ Based on continuously
encouraging shareholder feedback since December, we are confident
that we are on course to appoint our entire slate at the upcoming
Annual Meeting. The current Board is also fully aware that
shareholders are strongly supportive of Browning West, which
explains why the Board is resorting to egregious low-road
tactics.
We stand by our March 13th press release and urge all of our
fellow shareholders to reject the Board’s intimidation tactics,
which are evidently geared to silencing vocal investors. It is sad
that this is all the sitting directors can muster to try to shift
attention away from their own failures and Mr. Tyra’s record of
value destruction and poor judgement.”
Disclaimer for Forward-Looking Information
Certain information in this news release may constitute
“forward-looking information” within the meaning of applicable
securities legislation. Forward-looking statements and information
generally can be identified by the use of forward-looking
terminology such as “outlook,” “objective,” “may,” “will,”
“expect,” “intend,” “estimate,” “anticipate,” “believe,” “should,”
“plans,” “continue,” or similar expressions suggesting future
outcomes or events. Forward-looking information in this news
release may include, but is not limited to, statements of Browning
West regarding (i) how Browning West intends to exercise its legal
rights as a shareholder of the Company, and (ii) its plans to make
changes at the Board and management of the Company.
Although Browning West believes that the expectations reflected
in any such forward-looking information are reasonable, there can
be no assurance that such expectations will prove to be correct.
Such forward-looking statements are subject to risks and
uncertainties that may cause actual results, performance or
developments to differ materially from those contained in the
statements including, without limitation, the risks that (i) the
Company may use tactics to thwart the rights of Browning West as a
shareholder and (ii) the actions being proposed and the changes
being demanded by Browning West, may not take place for any reason
whatsoever. Except as required by law, Browning West does not
intend to update these forward-looking statements.
Advisors
Olshan Frome Wolosky LLP is serving as legal counsel, Goodmans
LLP is serving as Canadian legal counsel, and IMK is serving as
Quebec legal counsel. Longacre Square Partners is serving as
strategic advisor and Pelican PR is serving as public relations
advisor. Carson Proxy is serving as proxy advisor.
About Browning West, LP
Browning West is an independent investment partnership based in
Los Angeles, California. The partnership employs a concentrated,
long-term, and fundamental approach to investing and focuses
primarily on investments in North America and Western Europe.
Browning West seeks to identify and invest in a limited number
of high-quality businesses and to hold these investments for
multiple years. Backed by a select group of leading foundations,
family offices, and university endowments, Browning West’s unique
capital base allows it to focus on long-term value creation at its
portfolio companies.
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version on businesswire.com: https://www.businesswire.com/news/home/20240315017567/en/
Browning West info@browningwest.com 310-984-7600
Longacre Square Partners Charlotte Kiaie / Scott Deveau,
646-386-0091 browningwest@longacresquare.com
Pelican PR Lyla Radmanovich / Mélanie Tardif, 514-845-8763
media@rppelican.ca
Carson Proxy Christine Carson, 416-804-0825
christine@carsonproxy.com
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