Stephen Marks, the chairman and chief executive of French Connection, is facing fresh criticism from investors over his handling of the company.
Gatemore Capital Management, which owns around 8% of the retailer, is leading a group of investors with a total stake of 15%, which is pressing for changes to the management of the business. Liad Meidar, a managing partner at Gatemore, has accused Marks of overseeing a “tremendous decline in value”, according to The Guardian.
Marks is also facing pressure from investor advisory groups including Manifest over the nature of his role as both chairman and chief executive, for a lack of independent directors and for being vague over the details of how bosses’ bonuses are decided.
These fresh criticisms follow the company’s AGM last week, which saw a series of controversial board reappointments waved through by narrow margins via a show of hands.
Around 53% of independent shareholders who voted via proxy were against the reappointment of Marks, as well as the non-executive director Dean Murray. In addition 56% voted against the company’s remuneration policy amid shareholder concern over unclear targets.