Boohoo faces backlash from investors over CEO John Lyttle’s £50m bonus
Boohoo faced retaliation from its investors over the salary of its top executives at its annual meeting on Friday.
It has been reported that a third of the shareholders who were involved in the ballot voted against the online retailer’s remuneration report.
This includes a £50 million bonus for Boohoo chief executive John Lyttle if the company is worth £6 billion by March 2024.
Boohoo’s valuation is £800 million shy of the £6 billion after shares jumped 38% this year.
Last month, the fast fashion retailer raised £200 million to support an acquisition plan. It went on to acquire the online businesses, brands and associated intellectual properties of the collapsed high street retailers Oasis and Warehouse, having bought its former stablemates Coast and Karen Millen last year.
It also acquired the shares it didn't already own in PrettyLittleThing, the fast fashion brand established by Boohoo founder Mahmud Kamani's son Umar Kamani.
Lyttle said that Boohoo was heading in the same footsteps as retail giants such as Zara owner Inditex or H&M Group.
He added: “Our ambition is to be a global online player.”
Boohoo reported sales of £367.8 million for the three months to the end of May, an increase of 45% on last year.
The fast fashion retailer is expecting another year of “strong profitable growth” ahead of market expectations.