MAKEUP brand Revolution Beauty has reached a settlement deal with top shareholder Boohoo over board changes, Reuters reported.
As part of the deal, Revolution Beauty CEO Bob Holt and chairman Derek Zissman had agreed to step down, the company said on Tuesday (18).
Online fashion retailer Boohoo, founded by Mahmud Kamani and Carol Kane, sought board changes at Revolution Beauty last month. It also demanded better management after questions over its last year accounts.
Boohoo raised its stake in Revolution to over 26 per cent in 2022.
According to reports, Boohoo wanted to see Holt, Zissman and CFO Elizabeth Lake removed from the board and replaced with new directors Alistair McGeorge, Neil Catto and others.
McGeorge is Boohoo’s deputy chairman, while Catto is an executive director at Boohoo and its former finance chief.
Revolution Beauty said McGeorge had been appointed executive chairman and Catto a non-executive director. It added that CFO Elizabth Lake would retain her position.
Holt, who was appointed CEO late last year, would stay on with the business as interim CEO till August, the company said.
Holt was previously the company’s interim chief operating officer. He took on the CEO role after former boss Adam Minto stepped down amid an independent accounting probe.
Last August Revolution Beauty’s auditors began a probe after raising concerns over its 2022 accounts. Trading of its shares were suspended on Sept. 1.
Shares in the London-listed company, which resumed trading on June 28, jumped 10 per cent in Tuesday morning trade.
“The new directors appointed at Boohoo’s request are looking forward to supporting Elizabeth with her ongoing hard work on restoring the company to sound financial health …,” Revolution said in a statement.
