Anson Funds Calls on Gildan Activewear's Board of Directors to Immediately Reinstate Glenn Chamandy as CEO

Rhea-AI Summary

Anson Funds Management LP and Anson Advisors Inc., significant shareholders of Gildan Activewear Inc. (NYSE: GIL), express disappointment with the Gildan Board's handling of succession planning and call for the immediate reinstatement of Glenn Chamandy as CEO.

Positive

• None.

Negative

• The Gildan Board's poor handling of succession planning and backroom deal with an individual shareholder have caused value-destructive distractions for the company.

Expresses Disappointment Regarding the Gildan Board Striking a Backroom Deal with an Individual Shareholder in Exchange for Their Support Rather than Engaging with Investors Troubled by Poor Succession Planning

TORONTO, Dec. 18, 2023 /PRNewswire/ -- Anson Funds Management LP and Anson Advisors Inc., the co-investment advisers of certain investment funds (collectively "Anson Funds," "we," or "us") and significant shareholders of Gildan Activewear Inc. (NYSE: GIL) ("Gildan," or the "Company"), today issued the following statement regarding its views on the Company's Board of Directors' (the "Board") poor handling of succession planning and calling for the Board to immediately reinstate Glenn Chamandy as CEO. 

"Anson Funds has become increasingly concerned by the Board's handling of succession planning and disregard for shareholder feedback. We disagree with the Board's decision to remove Mr. Chamandy as CEO given his strong track record of value creation, and are calling for his immediate reinstatement and the implementation of a formal succession planning process including the engagement of Company shareholders.

The Board's mishandling of the succession planning process to date and its actions thereafter have resulted in an incredibly value-destructive distraction that must be immediately addressed. We are further troubled by the Board's decision to strike a backroom deal granting an individual shareholder a board seat in exchange for their support before engaging with other investors to discuss the Company's approach to succession planning. Instead, Company shareholders had to read about the Board's views on Mr. Chamandy in press reports, which we have since learned are false accusations. Specifically, the Board's commentary regarding M&A appears designed to perpetuate this distraction at the cost of what should be its key focus: succession planning.

We believe the best course of action is to immediately reinstate Mr. Chamandy, especially considering Vince Tyra seemingly lacks the skills required to lead Gildan into its next stage of growth."

About Anson Funds

Anson Funds is a privately held alternative asset manager with $1.7B in assets. The firm was founded in 2007 with offices in Toronto and Dallas.

Contact

Taylor Ingraham
ASC Advisors
tingraham@ascadvisors.com
1-203-992-1230

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SOURCE Anson Funds

FAQ

What is Anson Funds Management LP and Anson Advisors Inc.'s stance on the Gildan Board's handling of succession planning?

Anson Funds express disappointment with the Gildan Board's poor handling of succession planning and call for the immediate reinstatement of Glenn Chamandy as CEO.

What is the ticker symbol for Gildan Activewear Inc.?

The ticker symbol for Gildan Activewear Inc. is GIL.

What actions are Anson Funds troubled by regarding the Gildan Board's handling of succession planning?

Anson Funds are troubled by the Board's decision to remove Mr. Chamandy as CEO and the backroom deal granting an individual shareholder a board seat in exchange for their support before engaging with other investors.

What is the specific demand made by Anson Funds regarding the Gildan Board's actions?

Anson Funds are calling for the immediate reinstatement of Glenn Chamandy as CEO and the implementation of a formal succession planning process including the engagement of Company shareholders.