Advent International has completed its purchase of 20.1 million shares in Lululemon Athletica Inc., giving it a 14.87 percent stake in the performance apparel company, according to a filing with the Securites & Exchange Commission.
Advent purchased the stock from Lululemon Founder and Director Dennis “Chip” Wilson as part of an agreement that calls for the private equity firm to gain two new seats on the board. Under that agreement, Wilson and Advent have agreed not to move forward with a proxy fight until after the company’s 2016 annual stockholder meeting.
The agreement also calls for the company’s board to engage an independent expert to evaluate and make recommendations regarding the Lululemon Board’s committees, policies and procedures within 90 days.
The sale reduced Wilson’s holdings in Lululemon by half to 27.7 percent of the companys outstanding shares.
