Les Wexner is finally cutting good relations with its decades-old retail empire, which currently controls the Victoria Secret and Bath & Body Works chains.
The 83-year-old billionaire retail icon – whose business has been in a long-running feud with the late pedophile Jeffrey Epstein – said he and his wife Abigail would not stand for a reelection of the board of L Brands at the company’s annual shareholder meeting in May .
Wexner became a retail legend in the 1980s to build the Limited into a mall-based powerhouse, then building and spinning other successful chains including Abercrombie and Fitch. He remained on the board after retiring as chief executive of Columbus, an Ohio-based company last year.
Two independent female directors have been appointed to replace Wexner and his wife on the board: Danielle Lee, chief fan officer of the National Basketball Association; And Francis Hondl, President of Loyalty and Engagement at MasterCard.
“I am more confident than ever that we have a very positive momentum as we approach the planned separation in the two businesses. Now is an ideal time for my transition from Abigail and the board, ”Wexner said in a statement.
Just two years ago, activist investor Barrington Capital criticized the lack of diversity on the board and Wexner’s sweet relationship with several directors. Barrington had apprehended that many of the board members in Ohio were local business traders and three of the 12 members had sat on the board for more than three decades. The average age of directors at that time was 71.
In a March 2019 letter to Wexner, Barrington stated, “Most of these directors have a strong connection to you and your wife (and to each other).”
L Brands is looking for a buyer for Victoria’s Secret, which has seen its value increase during the epidemic after years of conflict. L Brands is looking to differentiate the lingerie giant from the Bath and Body Works series, which is meanwhile growing by leaps and bounds.
Wexner’s “thoughtful approach to developing brands and building dedicated and talented teams has enabled L Brands to grow and succeed as a leading specialty retailer for nearly 60 years,” Chairman Sarah Nash said in a statement.
Nash joined the board in 2019 and was made chairman on March 12, a year ago.
“We are very excited to move forward with the next chapter of the company and our plan to build two businesses in the future,” Nash said.
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