SFH 1.24% $1.22 specialty fashion group limited

Media reports emerging of what appears to be shanigangs at SFH...

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    Media reports emerging of what appears to be shanigangs at SFH over the last 6 months:

    - the former CEO was quite clear in the media and ASX releases of the reasons for his departure;

    “...fresh expertise is good...I would have to commit to another five years...I’m an entrepreneur..,etc”

    It is now reported that the real reason was the Board asked him to step down given he was working on a privatisation proposal?

    This raises grave concerns of major governance breaches.

    - the former CEO is one of several parties that had made a confidential, indicative offer for SFH;

    What are investors who have seen 70 % loss of capital meant to deduce from this?

    The architect of SFH’s strategy over the last +14 years has the hide to now make an offer for SFH to capitalise on its value in his own private capacity, which he failed to accomplish whist in paid employment as the company’s CEO?

    These are significant concerns. There have been lesser legal actions over fiduciary duty matters in Australian corporate history.

    The Board needs to get on with appointing a CEO, continuing the execution of the strategy and beat the competition (Noni B) as matters of immediate priority.

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    The board of troubled retailer Specialty Fashion Group asked co-founder and chief executive Gary Perlstein to step down last year when it discovered he was working on a takeover offer.

    Mr Perlstein announced his 'retirement' last November after 14 years as chief executive and 24 years with the retailer, saying he was unwilling to commit to another five years and Specialty Fashion needed new leadership.

    "I do think we are in tumultuous times and having some fresh expertise is good, we need someone who can give us a good five years or more and at the 15-year mark I would have to commit myself to another five years," Mr Perlstein toldThe Australian Financial Review at the time.

    However, it is understood that the board asked Mr Perlstein to step down when it learnt he was working on a privatisation proposal, possibly with the backing of co-founder Ian Miller and former director and Investec chief executive Geoff Levy.

    "The board felt that he was compromised because of the information he had," a source close to the company told The Australian Financial Review on Tuesday.

    "He was asked to leave because he was working on a takeover."



    Read more: http://www.copyright link/business/...atisation-offer-20180131-h0r795#ixzz55ovhz1wH
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    Last edited by natnicnak: 01/02/18
 
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