Activist investors nominate nine directors to Kohl's board- WSJ

In this article:

Feb 21 (Reuters) - A group of activist investors with about9.5% stake in Kohl's Corp is attempting to take controlof the department store chain's board, The Wall Street Journalreported on Sunday.

Investors including Macellum Advisors GP LLC, AncoraHoldings Inc, Legion Partners Asset Management LLC, and 4010Capital LLC had earlier this year nominated nine people to itsnow-12-person board, the newspaper said, citing people familiarwith the matter. https://on.wsj.com/37Dt5Ls

These activist investors are calling on Kohl's to take arange of actions, including adding directors with retailexperience who can work with Michelle Gass, the company's CEO.They are also asking Kohl's to consider a sale-leaseback of someof its more than $7 billion in noncore real estate, the Journalsaid, citing people familiar with the matter and a letter viewedby the outlet, which the group plans to send to shareholders.

Neither the size of the investors' stake nor the board bidwas previously known, WSJ said.

The group also is calling on Kohl's to reduce inventorylevels while improving offerings and make discounts andpromotions easier for customers to follow, the newspaper added.

A Kohl's representative told Reuters that the company'sboard and management team have been engaged in discussions withthe investor group since early December and "remain open tohearing new ideas."

The investor group's nominees to Kohl's board includeMacellum Chief Jonathan Duskin and former Burlington Stores IncCEO Thomas Kingsbury, according to WSJ.

(Reporting by Juby Babu and Kanishka Singh in Bengaluru;editing by Diane Craft)

Advertisement