Deckers Faces Proxy Battle from Marcato Capital
The investment fund, which owns 6.1% of Deckers, nominated a full slate of 10 candidates to completely replace the company’s board of directors and also sent DECK a letter outlining current management’s shortcomings in maximizing shareholder value. Marcato and other institutional investors have been lobbying the Deckers board vociferously over the past year with demands that it divest smaller brands such as Hoka One One and Teva and focus on maximizing the growth and margins at the flagship Ugg brand. The latest letter lambasted Deckers for declining ROIC and margins over the past five years even as SG&A has skyrocketed. ... Log in to view full article.