Victoria's Secret Shareholder Barington Seeks Board Revamp, Rights Plan Termination

Consumer stocks were rising Monday afternoon, with the Consumer Staples Select Sector SPDR Fund (XLP) up 0.1% and the Consumer Discretionary Select Sector SPDR Fund (XLY) climbing 1%.

In corporate news, Coty shares rose over 7% after trade publication Women's Wear Daily reported Monday that the company was exploring a possible sale.

MGM Resorts International and Entain's BetMGM venture said it now expects at least $2.6 billion in 2025 net revenue, up from its previous outlook range of $2.4 billion to $2.5 billion. MGM Resorts shares climbed 8.6%.

Roku and Amazon.com's Amazon Ads have partnered on an integrated advertising platform for connected television in the US, the companies said Monday. Roku shares gained 8%.

Warner Bros. Discovery (WBD) shares increased 5.5% after it said Monday it received necessary approvals from holders of some series of notes to adopt proposed amendments to the indentures governing those notes. The move is part of the company's plan to split into two separate publicly traded companies.

Victoria's Secret shareholder Barington Capital urged the company to "refresh" its board and cancel a shareholder rights plan as part of its proposed action plan for Victoria's Secret to "regain its footing." Victoria's Secret shares rose 3.8%.

(Updates with Victoria's Secret spokesperson statement in the penultimate paragraph.)

Victoria's Secret shareholder Barington Capital Group urged the company to "refresh" its board and cancel a shareholder rights plan as part of its proposed action plan for Victoria's Secret to "regain its footing."

Barington Capital Group issued a letter Monday to Victoria's Secret Chairman Donna James, highlighting the company's deteriorating performance since its spin-off from L Brands and public listing in 2021. According to the activist investor, Victoria's Secret has lost over $2.4 billion in shareholder value since 2021 and has "meaningfully underperformed" against its peers.

As part of its proposed action plan, Barington Capital urged Victoria's Secret to streamline its operating model, refocus on core products, and accelerate growth in digital and international markets.

Barington Capital said it owns over 1% of Victoria's Secret's outstanding shares with its affiliates.

A spokesperson from Victoria's Secret told MT Newswires that Barington Capital has not sought to engage with the company. While Victoria's Secret looks forward to discussions with Barington Capital, the company remains confident in its strategy under the new leadership team, the spokesperson said.

Shares of Victoria's Secret were up 2.3% in recent Monday trading.

Consumer stocks were edging higher pre-bell Monday as the Consumer Staples Select Sector SPDR Fund was advancing by 0.1% and the Consumer Discretionary Select Sector SPDR Fund was up almost 1% recently.

MGM Resorts International and Entain's BetMGM venture said it now expects at least $2.6 billion in 2025 net revenue, up from its previous outlook range of $2.4 billion to $2.5 billion. Shares of MGM Resorts International were up more than 3% premarket.

Victoria's Secret shareholder Barington Capital Group urged the company to "refresh" its board and cancel a shareholder rights plan as part of its proposed action plan for Victoria's Secret to "regain its footing." Victoria's Secret shares were more than 7% higher pre-bell.

Darling Ingredients shares were up more than 1% after the company said its Darling Global Finance unit has launched a 750 million-euro ($868.4 million) offering of senior notes.

Victoria's Secret shareholder Barington Capital Group urged the company to "refresh" its board and cancel a shareholder rights plan as part of its proposed action plan for Victoria's Secret to "regain its footing."

Barington Capital Group issued a letter Monday to Victoria's Secret Chairman Donna James, highlighting the company's deteriorating performance since its spin-off from L Brands and public listing in 2021. According to the activist investor, Victoria's Secret has lost over $2.4 billion in shareholder value since 2021 and has "meaningfully underperformed" against its peers.

As part of its proposed action plan, Barington Capital urged Victoria's Secret to streamline its operating model, refocus on core products, and accelerate growth in digital and international markets.

Barington Capital said it owns over 1% of Victoria's Secret's outstanding shares with its affiliates.

Victoria's Secret did not immediately respond to MT Newswires' request for comment.

Shares of Victoria's Secret were up more than 3% in recent premarket activity Monday.