Barington criticizes Victoria's Secret board and calls for leadership overhaul

From Yahoo Finance: 2025-06-17 08:08:00

Investor group Barington demands Victoria’s Secret board members with expertise in brand rejuvenation and shareholder returns. They criticize the shareholder rights plan as a “poison pill” and question the board’s decisions that led to a decline in shareholder value.

Barington, holding over 1% stake, criticizes Victoria’s Secret’s performance post-spin-off in 2021. CEO Mitarotonda highlights a $2.4bn shareholder value loss and $1.8bn spent with little return. He questions the qualifications of current executives and their strategic decisions.

Mitarotonda questions CEO Super’s focus on secondary brands and athleticwear over core business and global expansion. He calls for a reconstituted board with experience in brand revitalization, operational execution, and shareholder value creation. Victoria’s Secret’s Q4 report showed operating income exceeding expectations and a 5% sales increase.

Suggestions for Victoria’s Secret include refocusing on core brand strengths, propelling digital and global expansion, and simplifying the business structure. The company had not responded to comments by Just Style, but a spokesperson expressed confidence in the current leadership team’s ability to unlock shareholder value.

In a separate incident, Barington Capital Group and Thor Equities advised Macy’s to explore structural changes after a 2.4% drop in net sales for Q3. “Barington urges Victoria’s Secret to overhaul leadership board” was originally reported by Just Style.

Read more: Barington urges Victoria’s Secret to overhaul leadership board