Lululemon founder Chip Wilson seeks board reform amid shareholder value concerns

Chip Wilson, the founder and a significant shareholder of Canadian athletic apparel company Lululemon, has launched a public campaign to reform the company board of directors. In a letter addressed to shareholders on February 27, 2026, Wilson expressed dissatisfaction with the current strategic oversight and the performance of the brand, citing a loss of approximately 20 billion dollars in shareholder value over the past five years.

Wilson, who founded the company in 1998, alleges that the board lacks the necessary creative and marketing expertise to maintain the brand’s competitive edge. According to Wilson, the stock has depreciated by nearly 50 percent during this period. The founder also highlighted a "crisis" in leadership, noting that the company is currently seeking its permanent chief executive officer following what he described as a third failed succession planning process.

Nomination of independent directors

In response to these concerns, Wilson has nominated three independent candidates for election to the board: Marc Maurer, former co-CEO of Swiss footwear brand On Holding; Laura Gentile, former chief marketing officer of US sports media group ESPN; and Eric Hirshberg, former CEO of US video game publisher Activision Publishing.

Wilson claims that under the leadership of Maurer, On experienced significant global expansion and nearly quadrupled its revenue. Similarly, he noted that during the tenure of Hirshberg at Activision, segment profit nearly doubled. The founder argues that these individuals possess the high-performance brand experience currently missing from the lululemon boardroom.

Board resistance and governance proposals

The dispute has intensified over specific governance proposals. Wilson submitted a framework on December 15, 2025, which included a proposal to declassify the board and the creation of a Brand Product Committee. He pointed to the success of Finnish sporting goods corporation Amer Sports as a model, where a similar committee helped brands like Wilson and Arc’teryx outperform the S&P 500 by approximately 89 percent since its initial public offering in 2024.

The Lululemon board has reportedly rejected the committee proposal. Wilson expressed concern regarding the independence of the board, noting that David Mussafer, the chair of the corporate responsibility, sustainability, and governance committee, is overseeing the nominee interview process while being a candidate for election himself this year. Wilson further noted that Mussafer has served more than 14 years on the board.

Response from Lululemon

The board of lululemon has responded to the allegations, stating that it has engaged with Wilson in good faith through numerous meetings. In a press release, the company disagreed with the characterisation of the interactions by Wilson. The board claimed that Wilson has restricted access to his nominees, only allowing Maurer to participate in preliminary conversations.

The company stated: “Mr. Wilson had indicated he would not allow the Board to meet with these individuals unless the Board agreed to a full set of settlement terms.” The board maintains that it remains open to constructive dialogue with all shareholders but will prioritize actions that serve the collective interest of the company.