Another Investor Is Pressuring Kohl’s to Revamp Its Business

Another investor is asking Kohl’s to make major changes to its business structure to improve profitability and shareholder value. Macellum Advisors GP, LLC, which holds almost 5% of outstanding common shares at Kohl’s, on Tuesday sent an open letter to other shareholders to call out Kohl’s for “mismanaging” the business and “failing to implement necessary operational, financial and strategic improvements.” The letter called out a drop in the company’s stock, which was down about 22% on Monday since April, and said Kohl’s had “produced some of the worst revenue numbers in its retail peer group since the economy began reopening in 2021.” “We firmly believe that without significantly more change to the Board, the Company will fail to deliver acceptable value creation in the years to come,” wrote Jonathan Duskin, a managing partner at Macellum Capital Management, in the letter. Macellum entered into a settlement with Kohl’s last year, which involved two board seats and other changes. Now, Macellum said it believes that more shareholder representation is crucial to help Kohl’s do better. The investor also said it supports a move for the company to separate its digital and brick-and-mortar businesses into two separate entities, a recently popular move among traditional department store retailers. In

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