​Tension grows between Sports Direct and Findel

By

Barbara Santamaria

Published
Nov 30, 2015

The British company Findel issued on Friday a document advising its shareholders to vote against Sports Direct’s request to appoint Benjamin William Garderner as new director.

The resolution was proposed by Sports Direct earlier this month, exercising its right as owner of an 18.9% stake in Findel. The group has convened a general meeting on December 21st to discuss the proposal, and will take shareholders votes until December 17th.

Findel’s board declared in a statement that Benjamin William Garderner is not “an appropriate candidate for the Chief Executive position” and that he does not  have “the adequate skills, knowledge or experience” for the role. The board also said that Sports Direct’s request was “a clear attempt to gain significant control over the company's affairs without payment of an appropriate premium and potentially to the detriment of the interests of other shareholders.”

In May Findel announced an approach for Kitbag, its sports merchandise retailer, by a third party. The news was not welcomed by Sports Direct, which said it would withdraw from retail and marketing arrangements if the sale of Kitbag was completed.

Findel has confirmed the discussions with respect to the sale of Kitbag are still ongoing.