Athletic wear company Lululemon Athletica has selected a marketing veteran to join its board of directors as the yoga pants manufacturer faces mounting pressure from its founder to reinvigorate the brand, according to sources familiar with the matter.
Esi Eggleston Bracey, who served as chief growth and marketing officer at Unilever until early this year and previously worked in senior roles at Procter & Gamble, will join the board effective immediately, sources revealed.
During her tenure at Unilever, the company behind Dove personal care items, Eggleston Bracey spearheaded marketing transformation efforts spanning more than 400 brands worldwide. Her experience also includes work at beauty company Coty, where she played a key role in repositioning the CoverGirl brand.
Eggleston Bracey has served on Williams-Sonoma’s board since 2021, where she participates on the audit and finance committee for the home goods retailer.
The new director will seek election at Lululemon’s annual shareholder meeting set for June 25. Meanwhile, current director Shane Grant, who holds the position of chief operating officer for the Americas at Colgate-Palmolive, announced he will not pursue re-election, sources confirmed.
This latest board addition marks the second new director appointment in two months for Lululemon, following recent leadership changes including the naming of a new chief executive. The company continues to navigate tensions with founder Chip Wilson, who has criticized the brand for losing its “cool” factor.
Heidi O’Neill is set to assume the CEO role in September once her non-compete clause with Nike expires. The company also welcomed former Levi Strauss & Co CEO Chip Bergh to its board in March.
Wilson, who established Lululemon in 1998 before departing the board in 2015, is pushing for investors to support three director candidates of his choosing. He has argued that CEO selection should have occurred only after more comprehensive board changes.
Company representatives declined to provide comment on the matter.
The decision to bring Eggleston Bracey aboard demonstrates that board members and executives are actively working to revitalize a brand that coined the athleisure trend, with customers wearing its signature yoga pants from fitness studios to home offices and beyond, particularly during the pandemic.
The company went public in 2007 and reached a stock price peak of $511 in late 2023. Shares closed at $146.94 on Monday following a 45% decline over the past year, resulting in a current market value of $17 billion as the company confronts growing competition from emerging brands like Alo Yoga and Vuori in the domestic market.
However, some investors have highlighted strong international sales figures and product innovations such as enhanced stretch fabrics, pointing to emerging signs of recovery.
The potential proxy battle with Wilson, who holds approximately 4.3% of company shares, remains a significant concern. Documents reviewed by Reuters indicate ongoing discussions between both parties, though no settlement has been finalized.
