Lew aims for Myer spill

Millionaire looks to replace entire board

MYER’S biggest shareholder, Solomon Lew, has requested a copy of the department store chain’s share register to push for an extraordinary general meeting and spill the board.

Mr Lew plans to engage with shareholders to assemble a rival board to challenge and replace the existing one.

Mr Lew’s Premier Investments, a retail vehicle whose stable of brands includes Just Jeans, Smiggle, Portmans and Peter Alexander, is the biggest shareholder in Myer with a near 11 per cent stake.

Premier has previously pushed to have three directors on the eight-person board.

In a statement yesterday, the group said it was now looking to replace the entire board at an extraordinary general meeting.

“Premier will, over the coming weeks, caucus with other Myer shareholders to determine appropriate independent candidates for the remainder of the new Myer board to be put to all shareholders for voting at the proposed EGM (extraordinary general meeting),” it said.

The group said it was working towards such an extraordinary general meeting “rather than allow another year of decline and value-destruction under the current board”.

The meeting would “allow Myer shareholders to have their say and provide them with an opportunity to reconstitute the entire Myer board with an experienced and performance-focused board capable of addressing the current challenges and fulfilling the potential of the Myer brand and business”, Premier said.

It said the profit downgrade before Christmas again showed its board was not able to reverse a “disappointing downward trajectory”.

Myer would clearly be forced to soon announce major writedowns on its brand and goodwill, Premier said.

Premier failed in its bid to topple Myer’s new chairman Garry Hounsell and two other directors at the retailer’s annual meeting in November.

But it did draw blood by gaining a “first strike” against the group’s remuneration report.

Premier said it was prepared to fund all “reasonable costs” of the proposed extraordinary general meeting.

Myer shares were down 0.3c, or 0.5 per cent, at 64.7c.