NEW YORK, December 30, 2025, 01:23 ET — Market closed
- Lululemon shares closed up 1.7% on Monday.
- Founder Chip Wilson submitted director nominations ahead of the 2026 annual meeting.
- CEO succession and proxy filings are the next near-term catalysts.
Lululemon Athletica Inc (LULU) shares closed up 1.7% on Monday at $212.54 after the company said founder Chip Wilson submitted nominations for three director candidates in a move that could trigger a proxy fight. 1
The board challenge lands in the middle of a leadership handoff. A regulatory filing showed CEO Calvin McDonald will step down effective Jan. 31, with finance chief Meghan Frank and chief commercial officer André Maestrini set to serve as interim co-CEOs while the company searches for a permanent replacement. 2
Founder pressure is arriving as the retailer tries to regain momentum after a bruising year. Lululemon shares are down about 45% in 2025 and the company is facing fast-growing rivals such as Alo Yoga and Vuori, Reuters reported. Morningstar analyst David Swartz said: “Adding three new board members seems like something that Lululemon would be willing to do.” 3
Wilson nominated former On Running co-CEO Marc Maurer, former ESPN chief marketing officer Laura Gentile and former Activision CEO Eric Hirshberg as independent director candidates, according to the report.
Wilson said the board’s handling of the CEO change was “the third total failure of board oversight,” arguing it lacked a clear succession plan and enough product experience.
Lululemon said it had engaged with Wilson “extensively and in good faith” and would evaluate the nominees under its governance process. It told shareholders they were not required to take any action now.
The company also said it intends to file proxy materials, including a proxy statement on Schedule 14A, ahead of the 2026 annual meeting. A proxy statement is the document companies file to solicit shareholder votes.
Elliott Management, which disclosed a $1 billion stake earlier this month, has also pushed for changes, Reuters reported, including backing former Ralph Lauren executive Jane Nielsen as a potential CEO candidate. A person familiar with Wilson’s thinking told Reuters he is not working with other investors.
For investors, the near-term question is whether the board fight speeds up a CEO decision or prolongs uncertainty over strategy and product direction. Proxy contests can be costly and distracting, especially when management is already in transition.
Before the next session, attention will turn to any new SEC filings that clarify the nominees’ case and the board’s formal recommendation, and the timetable for a shareholder vote.
The Jan. 31 leadership transition is another key date. Investors will be watching for updates on how Frank and Maestrini plan to steady the business once they take over on an interim basis.
Lululemon has not yet posted a next earnings date on its investor-events calendar, leaving the CEO search and proxy process as the clearest upcoming drivers for the stock. 4
