Gildan Activewear Announces New Details Regarding CEO Ouster

Gildan Activewear has recently released additional information concerning the removal of former CEO Glenn Chamandy. The Canadian clothing manufacturer conducted a review of Chamandy's files and electronic records, which led them to discover key details regarding his investment in funds managed by a Gildan shareholder. Interestingly, this shareholder has now expressed their support for reinstating Chamandy as the chief executive. Furthermore, it has been revealed that a senior executive of this shareholder purchased a substantial property at a private Barbados golf resort owned by Chamandy.

It is currently uncertain if Chamandy will provide any comment on these new developments.

Additionally, Gildan Activewear has brought to light Chamandy's close association with Browning West, an activist hedge fund and long-time shareholder advocating for his return to the company. The company states that Chamandy treated Browning West differently compared to other shareholders and even hosted Browning West officers at a Gildan facility in November. Notably, Browning West seems to have received a significantly different perspective on the future value of Gildan's share price than what Chamandy communicated to the board.

Last week, the company announced that its board had gradually lost trust and confidence in Chamandy, ultimately leading to his removal. Allegedly, Chamandy threatened to quit if the directors did not approve a multi-billion dollar acquisition strategy. As a result, Gildan has appointed Vince Tyra as the new President and CEO of the company.

Chamandy, who held leadership positions at Gildan for over four decades, maintains that his contract was terminated without cause and denies presenting any ultimatums to the company's board.