June 23rd, 2018

DavidsTea shareholders toss current board members by electing co-founder’s slate

By The Canadian Press on June 14, 2018.

MONTREAL – DavidsTea shareholders have turfed most of the existing board by electing seven nominees presented by the company’s co-founder.

Herschel Segal, who is also the company’s largest shareholder, becomes executive chairman and will be joined by corporate director William Cleman, Viau Foods president Pat De Marco, retired professor Ludwig Max Fisher, former MEC chief executive Peter Robinson and Roland Walton, former president of Tim Hortons Canada.

Also winning re-election is Le Chateau president Emilia Di Raddo.

The eighth nominee to be elected is chief executive Joel Silver, who was management’s face on an attempt to prevent a dissident revolt.

Segal has blamed the outgoing board – of which he was a member until March – for taking too long to turn to online commerce and failing in its expansion to the United States.

His holding company Rainy Day Investments Ltd., owns about 46 per cent of the outstanding shares.

However, three investment companies that together control 36.5 per cent of the shares opposed his plan.

The company has complained that Segal was trying to acquire the company without paying a premium.

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