Browning West, LP, a long-standing shareholder owning roughly 5.0% of Gildan Activewear Inc.'s outstanding shares, has initiated legal actions against both Gildan and its board of directors. The purpose of this lawsuit, filed with the Superior Court of Quebec's Commercial Division, is to safeguard shareholder rights in relation to the Annual Shareholders Meeting scheduled for May 28, 2024.
The company expressed its intention to ensure that every shareholder's vote is taken into account and that the procedures of the Annual Meeting are carried out with legality and fairness. Consequently, they are requesting the appointment of an independent chair to supervise the meeting.
Browning West claims in its suit that Gildan and its board have behaved in a way that unjustifiably disregards shareholder rights and interests. They accuse the board of pursuing a strategy of entrenchment and obfuscation, disparaging shareholders who disagree, and improperly prioritizing personal gains over the Company and its shareholders' interests.
Lastly, Browning West has confirmed that it has filed and begun circulating an informational circular.
